Shulou(Shulou.com)11/24 Report--

CTOnews.com January 23 news, according to the South Korean Customs Service data, South Korea's exports continued to decline from 1 to 20 this month, chip exports alone fell by 34%, is regarded as the latest sign of global economic slowdown.

South Korea's exports from January 1 to January 20 decreased by 2.7% from the same period last year to 33.6 billion US dollars, while imports increased by 9.3% to 43.8 billion US dollars, resulting in a trade deficit of 10.263 billion US dollars. However, the average daily export volume, excluding differences in working days, decreased by 20 per cent annually.

Data show that chip exports, South Korea's main export product, fell 34.1%, steel exports fell 11.2%, and exports to the mainland of China also fell 24.4%. CTOnews.com warns that this is the seventh consecutive monthly decline.

The main reason for South Korea's export decline is that chip demand has weakened. Economists expect South Korea's economy to contract in the last quarter, partly due to exports. Trade performance could have a profound impact on South Korea's export-dependent economy. Central Bank Governor Lee Chang-yong said this week that falling exports were one of his three biggest worries this year, along with a renewed rise in oil prices and a housing slump.

The outlook for South Korea's trade remains uncertain, with the government forecasting a 4.5 percent contraction in exports for the full year, the Korea International Trade Association (KITA) predicting a 4 percent contraction, and the central bank predicting a recovery in exports in the second half.

From January 1 to 20, the export volume of passenger cars (45.7%), petroleum products (18.8%) and wireless communication equipment (19.7%) increased year-on-year, but semiconductors (-34.1%) and precision equipment (-9.9%) all declined.

South Korea, meanwhile, posted a trade deficit of $47.2 billion last year, its biggest in 14 years since the global financial crisis in 2008. After last year, the export situation is expected to be more difficult this year. In an economic forecast released last year, the Korea Trade Association predicted that exports would fall 4 percent this year from a year earlier, with a trade deficit of $13.8 billion, while the Korea Institute of Industry, Economics and Trade predicted a 3.1 percent drop in exports and a trade deficit of $26.6 billion. The Korea Institute of Industrial Economics and Trade (KIET) said,"Due to the global economic slowdown, the decline in demand for IT (information technology) products led to an increase in memory semiconductor inventories. "

Welcome to subscribe "Shulou Technology Information " to get latest news, interesting things and hot topics in the IT industry, and controls the hottest and latest Internet news, technology news and IT industry trends.