Seoul: South Korea's exports fell by 5.1 percent year-on-year in the first 20 days of January, as data indicated a decrease attributed to fewer working days.
According to Yonhap News Agency, outbound shipments amounted to $31.6 billion from January 1-20, compared to $33.3 billion during the same period last year, based on data from the Korea Customs Service. Imports also saw a decline of 1.7 percent year-on-year, reaching $35.4 billion, which resulted in a trade deficit of $3.8 billion.
The primary reason for the export decline was identified as the reduced number of working days, totaling 14.5 in the period, compared to 15.5 in the previous year. However, the daily average volume of exports increased by 1.4 percent year-on-year during the same timeframe, according to the agency.
"This year's Lunar New Year holiday falls in January, unlike last year, and with the inclusion of a temporary public holiday, the holiday period has been extended. As a result, exports for this month are expected to temporarily slow down," stated Cho Ik-no, an industry ministry official.
South Korea had achieved a 15-month streak of export growth as of December. Sector-wise, semiconductor exports rose by 19.2 percent year-on-year to $6.3 billion in the first 20 days of January, reflecting growth in the semiconductor industry cycle. In contrast, automobile exports decreased by 7.3 percent to $3.2 billion, while petroleum products plummeted by 29.9 percent to $2 billion.
By destination, exports to China, South Korea's leading trading partner, decreased by 4.9 percent to $6.48 billion. Shipments to the United States fell by 9.6 percent, totaling $5.59 billion. Conversely, exports to Vietnam increased by 13.9 percent, reaching $3.06 billion.