South Korea exports post sharpest expansion in 26 months on solid chip demand
03 January, 2021
South Korea's exports expanded at their speediest pace in 26 months in December, on robust chip demand and improved global demand, providing additional indicators that the restoration is on the right track despite resurgences in the coronavirus.
Exports in the final month of 2020 grew 12.6 % year-on-year, the sharpest growth since October 2018 when it grew 22.5 per cent, government info showed on Friday.
The rate of growth was sharply greater than forecast as analysts had expected a 5.6 per cent jump from a year earlier, and was much faster when compared to a 4.1 % growth in November.
"Semiconductor exports had been exceptionally good, with 11 of 15 major export items publishing growth ... product sales of IT products boosted the overall progress," a trade ministry official said.
South Korea's regular trade info, the first ever to be released among key exporting economies, is known as a good bellwether for global trade.
Overseas sales of semiconductors surged 30 % from a year earlier, marking the sharpest expansion since August 2018, towing the entire exports recovery.
Other main items such as mobile devices, displays and computers as well soared 39.8 %, 28 % and 14.7 per cent year-on-year, respectively.
By destination, exports to China, South Korea's most important trading partner, gained 3.3 per cent from a year ago, and those to the US and European Union jumped 11.6 % and 26.4 %, respectively.
Imports rose 1.8 %, reversing a 1.9 % decline in November and marking the very best reading since April 2019.
Meanwhile, for your of 2020, South Korea's exports slid 5.4 % as the coronavirus pandemic swept world trade, but that was superior to a 10.4 % fall in 2019, the worst in ten years and the third-worst in the country's modern history.
Source: www.thenationalnews.com
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