February’s average daily exports increased by 47% and bio-62%, the largest ever

Semiconductors, which are’export girders’, made a big hit, and automobiles revived. The bio industry, a new growth engine, also continued to promote itself. As for exports, it appears to have completely escaped from the aftermath of the novel coronavirus infection (Corona 19). Export weather this year is also expected to be better than last year.

According to the’February export and import trend’ by the Ministry of Trade, Industry and Energy on the 1st, exports last month recorded 44.81 billion dollars, an increase of 9.5% compared to the same period last year. The monthly export growth rate has increased for the fourth consecutive month after turning from -3.9% in October last year to 3.9% in November. Despite the number of working days (-3 days) excluding holidays, exports ranked second ever since 2012.

The average daily exports, taking into account the number of working days, increased 26.4% to $2.3 billion. It showed the largest growth rate in 40 months since October 2017. In terms of daily average exports alone, it ranks first in February. Imports increased by 13.9% to $42.1 billion. The first double-digit increase since 2019. Intermediate goods such as semiconductor manufacturing equipment, automobile parts, and steel were imported. The trade balance after imports from exports is $2.71 billion, which is a surplus for 10 consecutive months.

Professor Kim So-young of the Department of Economics at Seoul National University diagnosed, “The manufacturing sector, which accounts for a high proportion of exports, was relatively less affected by Corona 19, and exports entered a general recovery trend thanks to the semiconductor boom.”

The first prize was semiconductor. It exported $8.37 billion, up 13.2% from the previous year. It was second in February. It has been increasing for eight consecutive months. Amid steady demand for data centers and mobile semiconductors, DRAM unit prices were affected. Automobile exports increased by 47% compared to the previous year. After 10 years and 6 months, it increased by more than 40% for 2 consecutive months. As the proportion of exports of sports utility vehicles (SUVs) and eco-friendly vehicles increased, the export unit price continued to be strong. Electric vehicle exports, a new growth item, also increased by 102.5%. The base effect, which disrupted the supply of parts due to the Corona 19 outbreak in February of last year, was also reflected.

Petrochemical product exports also increased 22.4% for the second consecutive month. It is the highest growth rate since October 2018. Bio-Health rose 62.5% due to robust exports of diagnostic kits.

By region, all three markets: China (26.5%), the United States (7.9%), and the EU (48.2%) increased for the fourth consecutive month. In particular, exports to China increased by 20% for two consecutive months. The EU was affected by the start of the COVID-19 vaccination.

As expectations for economic recovery grow, exports are expected to continue rising for the time being. Experts analyzed that manufacturing exports, focusing on the information and communications technology (ICT) sector, have entered a complete recovery phase. Hong Jun-pyo, a research fellow at the Hyundai Economic Research Institute, said, “There is less uncertainty about the outlook for the export economy than last year.”

However, uncertainties about changes in the trade environment, such as the prolonged Corona 19 and the spread of protectionism, remain. The newly launched US Biden government is also expected to actively utilize trade relief measures to protect its own industries. Industry Minister Sung Yun-mo said, “We will discover strategic export items and innovate support systems such as trade system, export finance, and market development, so that exports can be on a continuous growth trajectory.”

Sejong = Reporter Kihwan Kim [email protected]