The increase in exports from our country is projected to temporarily slow down this month. Due to the addition of a temporary holiday during the Lunar New Year holiday at the end of the month, the number of working days is four fewer than in January of last year, and the main export country, China, is also expected to be affected by the Spring Festival holiday. South Korea's exports have maintained a 'plus' (increase compared to the same month of the previous year) for 15 consecutive months until last month since October 2023, but there is a strong observation that it will be difficult to continue this plus streak this month.
Jeong In-kyu, head of the Ministry of Trade, Industry and Energy's trade negotiation headquarters, said on the 20th, "This year's Lunar New Year holiday is in January, unlike last year (February 9-12), and the holiday period will last a total of six days (January 25-30) including the temporary holiday (January 27), resulting in a significant decrease in the number of working days in January by four compared to the same month last year," adding, "Export in January will temporarily slow down."
Our equivalent of the Lunar New Year, China's "Spring Festival," and Vietnam's "Tet" also coincide with the holidays of major trading partners in Asia. The Chinese Spring Festival will be from the 28th to the 4th of next month, while Vietnam's Tet will be from the 25th to the 2nd of next month.
The deputy minister is scheduled to hold a meeting of export area officials at 2 p.m. that day to review the export situation for the year.
The Ministry of Trade, Industry and Energy reported that while there will be an impact from the number of working days in January, the export situation by region and item is favorable.
According to the Ministry of Trade, Industry and Energy, exports increased in eight out of the nine major regions last month, including the United States, China, the Association of Southeast Asian Nations (ASEAN), the European Union (EU), Japan, Latin America, India, and the Commonwealth of Independent States (CIS). In contrast, exports to the Middle East decreased.
Exports to China recorded $11.8 billion, an 8.6% increase from last year, driven by a rise in items such as semiconductors ($4.1 billion, up 22% compared to last year), information technology ($5.4 billion, up 20%), and petrochemicals ($1.63 billion, up 4%).
Exports to the United States also increased by 6.0% ($11.9 billion) due to rises in semiconductors ($1.47 billion, up 42%) and computers ($880 million, up 277%). Exports to ASEAN reached $9.64 billion, a 2.1% increase from the previous year, while exports to the EU increased to $980 million, a 266% rise.
Additionally, exports to emerging markets such as Latin America ($2.37 billion, up 16%) and India ($1.68 billion, up 6%) also saw increases, along with Japan ($2.64 billion, up 6%) and CIS ($990 million, up 9%).
The deputy minister noted, "This year, robust economic growth is expected for both developed and emerging/developing countries compared to last year, but uncertainties in the trade and economic environment remain due to the inauguration of the new U.S. government and ongoing geopolitical conflicts," adding, "The government will continue to conduct thorough situation assessments and swift responses as a public-private team."