Korea: Exports grow faster in August
September 16, 2013
Exports reached USD 46.4 billion in August, which marks a 7.7% expansion over the same month last year. The increase was faster than the 2.6% increase observed in July and represented the largest expansion recorded this year. In addition, the reading exceeded market expectations of a 6.9% rise.
According to the Ministry of Knowledge Economy (MKE), exports of automobiles and ships increased notably in August, offsetting the fall in exports of LCD devices and petroleum products. As a result of the strong annual expansion observed in August, the negative trend that has been in place since 2011 was finally reversed. In the 12 months up to August, exports increased 0.9% in annual terms, contrasting July's 0.2% decline.
Meanwhile, imports rose 1.0% in August, which was below the 3.2% expansion recorded in July. The trade balance reached a surplus of USD 4.9 billion in August, which was well above the USD 1.9 billion surplus tallied in the same month last year.
FocusEconomics Consensus Forecast panelists expect exports to expand 8.6% in 2013 and accelerate to 10.7% in 2014.