Record chip shipments propel export growth for ninth straight month in June

Containers are stacked at a port in the southeastern city of Busan on Monday. [NEWS1]

Chip exports skyrocketed to a fresh high in June, driving export growth for the ninth consecutive month.

In the first six months of the year, the automotive sector boosted the bottom line as well, hitting a record export volume in the period.

According to the Korea Customs Service and the Ministry of Trade, Industry and Energy on Monday, the export volume reached $57.07 billion last month, up 5.1 percent from the same period a year prior.

It marked the second-highest monthly figure for June.

Imports declined 7.5 percent on year to $49.07 billion, resulting in a monthly trade surplus of $8 billion.

The latest figures brought the export total in the first half of the year to $334.8 billion, up 9.1 percent on year. With imports shrinking 6.5 percent to $311.7 billion, the trade surplus for the first six months stood at $23.1 billion, the largest first-half figure since $31.1 billion in 2018.

Chips, as well as the automotive sector, drove the surge this year.

In June, outbound shipments of semiconductors reached a fresh monthly record of $13.42 billion, climbing 50.9 percent on year as the streak of gains over the previous year extended to an eighth straight month. Robust demand for advanced AI memory chips, including high bandwidth memory, led the growth, according to the Industry Ministry.

Display panels saw a 26.1 percent increase to $1.76 billion, computers a 58.8 percent jump to $1.15 billion and wireless communication devices a 3.9 percent increase to $1.06 billion.

In the January-June period, chip exports soared 52.2 percent to $65.7 billion, the second-highest first-half-year figure ever.

Outbound shipments in the automotive sector inched down by 0.4 percent to $6.2 billion in June. However, car exports in the first six months increased 3.8 percent to $37 billion, a new record for the first-half figure.

Hybrid cars, in particular, drove the uptick, increasing 19.5 percent during the cited period. Combustion-engine car exports rose 7.2 percent, while electric cars saw a 17.6 percent decline amid the persisting demand slump.

Ship exports continue to remain robust, growing 28 percent to $11.8 billion in the first half.

By regions, exports to the United States advanced 16.8 percent to $64.3 billion, reaching a new record for the January-June period. Exports to China rose 5.4 percent to $63.4 billion.

Energy imports declined by 10 percent through June despite a 3.9 percent increase in crude oil imports, as inbound shipments of gas dropped 27.9 percent and coal 23.5 percent.

“Korea clinched both on-year export growth and a trade surplus for the January-June period for the first time since 2021,” said Industry Minister Ahn Duk-geun.

As heightened shipping rates continue to heavily weigh down local exports, the ministry said that it is monitoring the situation around the clock and plans to temporarily deploy four vessels of the national flag carrier to ease the burden.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]