South Korea's monthly exports top $100B for first time

July 1 (Asia Today) -- South Korea's monthly exports surpassed $100 billion for the first time in June as surging demand for artificial intelligence chips helped the country set new records for semiconductor shipments and its trade surplus.

Exports rose 70.9% from a year earlier to $102.25 billion, the Ministry of Trade, Industry and Resources said Wednesday.

The total exceeded the previous monthly record of $87.75 billion set in May. Average daily exports, adjusted for the number of working days, also reached a record $4.54 billion.

South Korea became the fourth country after Germany, China and the United States to record more than $100 billion in exports in a single month.

Imports increased 30.1% to $66.1 billion, producing a record monthly trade surplus of $36.15 billion. It was the first time the country's monthly surplus exceeded $30 billion.

Semiconductors accounted for much of the growth.

Chip exports surged 199.5% from a year earlier to a record $44.82 billion, surpassing $40 billion for the first time.

The ministry attributed the increase to expanded AI server investment by major technology companies in the United States and China, which drove demand for high-bandwidth memory and DDR5 memory chips. Higher contract prices for memory products also boosted the value of shipments.

Computer exports jumped 308.8% to $5.41 billion on strong demand for solid-state drives. Exports of wireless communications devices increased 51.9% to $1.55 billion, supported by strong sales of new products.

Automobile exports rose 5.8% to $6.71 billion as parts supplies stabilized and production increased.

Ship exports climbed 12.9% to $2.83 billion as Korean shipbuilders delivered more high-value vessels, including liquefied natural gas carriers.

Petroleum product exports rose 49.8% to $5.59 billion as higher prices offset a decline in export volume. Petrochemical shipments increased 18.8% to $4.07 billion.

Steel exports rose 9.6% to $2.14 billion, marking their first year-over-year increase in 14 months. The ministry attributed the turnaround partly to stronger demand for construction materials as data center construction expanded.

Consumer goods also posted strong results.

Cosmetics exports increased 42.5% to $1.34 billion as international demand for South Korean beauty products continued to grow.

Biohealth exports rose 14.1% to $1.92 billion, their highest June total, supported by increased biosimilar market share and additional contract manufacturing orders.

Agricultural and fisheries exports increased 16.8% to $1.17 billion, led by growing overseas demand for processed foods including instant noodles and seasoned seaweed.

Exports to China and the United States each exceeded $20 billion.

Shipments to China rose 92.1% to $20.03 billion, led by semiconductor exports that more than tripled from a year earlier. Petrochemicals, machinery and wireless communications devices also posted gains.

Exports to the United States increased 78.6% to $20.02 billion.

The ministry said expanded AI server investment boosted U.S. demand for semiconductors, computers and electrical equipment, while cosmetics and food products benefited from the international popularity of Korean culture.

Exports to Southeast Asian markets rose 86.6% to a record $18.3 billion, driven by semiconductors, petroleum products and displays.

Shipments to the European Union increased 31.8% to $7.62 billion, the highest total recorded for June, as exports of ships, semiconductors, automobiles and biohealth products grew.

Exports to the Middle East, however, declined 8.4% to $1.8 billion as weaker shipments of machinery, auto parts and steel outweighed improvements in automobiles and petrochemicals.

South Korea also recorded its largest-ever first-half export total.

Exports from January through June increased 48.4% from a year earlier to $496.7 billion. Imports rose 16.6% to $358.4 billion, resulting in a cumulative trade surplus of $138.3 billion.

First-half semiconductor exports surged 162.6% to $192.4 billion, already exceeding the previous full-year record of $173.4 billion set in 2025.

Computer exports reached $21.2 billion during the six-month period, surpassing the previous annual record of $17.1 billion set in 2004.

Trade, Industry and Resources Minister Kim Jung-kwan said exporters faced difficult conditions during the first half because of continuing U.S. tariffs, logistics and energy disruptions related to the conflict in the Middle East and rising global protectionism.

"Even under these conditions, Korea's exports reached a record high for the first half," Kim said.

He attributed the performance to semiconductor demand linked to AI server investment, steady exports of ships, petroleum products and wireless communications devices and growth in cosmetics and food products.

Kim said uncertainty would likely continue during the second half because of U.S. tariffs, volatile oil prices and the possibility of a global economic slowdown.

The government will seek to reduce uncertainty for exporters while diversifying export products and markets and strengthening the international competitiveness of small and medium-sized companies, he said.

-- Reported by Asia Today; translated by UPI

© Asia Today. Unauthorized reproduction or redistribution prohibited.

Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260701010000073

Copyright 2026 UPI News Corporation. All Rights Reserved.