IT products accounted for 22.3 percent of all South Korean exports, which was the lowest since the 21.8 percent recorded in 2012. (image: Korea Bizwire)
SEOUL, Oct. 28 (Korea Bizwire) — Due to dwindling semiconductor exports, the proportion of information and technology (IT) products among all South Korean exports reached a seven-year low this year.
According to the Korea International Trade Association, South Korea recorded US$90.7 billion in exports of IT products including semiconductors, displays, and others between January and September of this year.
IT products accounted for 22.3 percent of all South Korean exports, which was the lowest since the 21.8 percent recorded in 2012.
Last year, IT products accounted for 26.5 percent of all South Korean exports after South Korea became the world’s first nation to export more than $100 billion of semiconductors.
However, the ensuing US-China trade dispute, a plunge in the unit price of semiconductors, and other negative factors led to declining IT exports, bringing them down to a level similar to that of seven years ago.
Investment firms forecasted that the market for semiconductors will reach its lowest point in the fourth quarter of this year, before entering a recovery stage early next year.
“Semiconductors are in the driver’s seat for bringing IT exports out of underperformance,” said one government official.
“We expect some recovery in the global semiconductor market early next year, when the issue of excess supply is expected to be resolved.”
H. M. Kang (hmkang@koreabizwire.com)
