ICT exports for August shrink, but hopes rest on new phablet

Exports of information and communications technology (ICT) products shrank 2.1 percent year-on-year in August to $14.2 billion. Despite the decline, Korean ICT products saw a trade surplus of $7.5 billion.

The shrinkage in exports was mainly due to a large drop in demand for televisions after the 2014 World Cup in Brazil. TV shipments plummeted 35.5 percent to $560 million compared to August 2013.

Smartphone shipments barely stayed above $2 billion due to a slack demand in Japan and Europe and rising popularity of lower-end Chinese smartphones like Xiaomi.

However, the Ministry of Trade, Industry and Energy said the trend shouldn’t last long after the recent release of Samsung’s Galaxy Note 4 phablet, which is expected to help boost sales during this year’s holiday season.