38.7% of mid-sized companies projected that their export performance in the first half of this year would decline compared to the previous year.
The Korea Federation of Middle Market Enterprises announced the results of the '2025 Mid-sized Company Export Outlook Survey' on the 4th. This survey was conducted from Dec. 9 to Dec. 18 last year, targeting 462 export-oriented mid-sized companies.
According to the survey results, 38.7% of mid-sized companies responded that they expect their export performance in the first half of this year to decrease compared to the previous year. The companies projecting a decrease in exports identified 'global economic slowdown and demand reduction (75.4%)', 'deteriorating exchange rates and financial conditions (44.7%)', and 'intensified competition (36.3%)' as the main factors for performance decline.
While 61.3% of mid-sized companies expected an increase in export performance compared to the previous year, 31.4% said the increase would be less than 5%.
Additionally, 59.3% of mid-sized companies were noted to have not even established plans for entering new countries.
Mid-sized companies indicated that the appropriate exchange rate range for securing revenue is '1,375 won to less than 1,400 won (23.8%).' The average won-dollar exchange rate last year was 1,364 won, while the current exchange rate as of March 4 this year is 1,463.5 won.
A representative from the Korea Federation of Middle Market Enterprises said, 'Even among the 38.7% of mid-sized companies forecasting a decrease in exports, they are continuously seeking strategies such as 'diversifying export markets (47.5%)', 'improving quality and adjusting prices (37.4%)', and 'increasing domestic market share (34.6%)'.' He added that 'systematic policy support tailored to on-site needs must be expedited to prevent the erosion of mid-sized enterprises' export competitiveness.'
Mid-sized companies are experiencing export difficulties in overseas markets, including major export countries such as the United States (51.9%), China (44.4%), Japan (28.8%), and Vietnam (27.9%), due to factors such as 'intensified local and global market competition (51.7%)', 'import regulations and trade barriers (34.8%)', 'legal and administrative issues such as customs and contracts (17.5%)', and 'local distribution and logistics instability (15.6%).'
The top priority for revitalizing mid-sized export businesses is expanding 'trade and export financial support (54.5%)' across all industries. Following this are 'reducing tariffs on key raw materials and parts (37.0%)' and 'export vouchers and overseas marketing support (33.5%).'
Lee Ho-jun, the standing vice chairman of the Korea Federation of Middle Market Enterprises, stated, 'To further boost the export willingness of mid-sized enterprises, it is essential to strengthen trade and export financial support, reduce import tariffs, and gather various concerns based on specific opinions from the field to establish a more effective support system.'