Korea: Exports contract in June
July 15, 2013
In June, exports dropped 1.0% over the same month last year, which contrasted the revised 3.1% expansion recorded in May (previously reported: +3.2% year-on-year). The June reading confirms the negative trend in exports observed since the beginning of 2011. In the 12 months up to June, exports contracted 1.1% in annual terms, slightly worse than the 1.0% contraction recorded in May.
While imports contracted a sharp 3.0% in June, this was an improvement over the 4.6% decrease recorded in the previous month. As a result, imports in the last 12 months fell 3.4% in June, above the 3.6% drop observed in May.
The trade balance reached a USD 6.0 billion surplus in June, which is above the USD 5.2 billion surplus tallied in the same month last year and the highest level since October 2010. In the 12 months up to June, the trade surplus reached USD 37.4 billion (May: USD 36.6 billion surplus), marking a record high since August 2011.
FocusEconomics Consensus Forecast panellists expect exports to expand 8.6% in 2013 and accelerate to 10.7% in 2014.