South Korea’s exports and imports fell for the first time in two and a half years in March, due mainly to weak overseas demand for Korean ships and commodities, a government report showed Sunday.
Despite the first negative trade growth since October 2009, the country’s trade balance remained in the black to the tune of $2.33 billion, according to the report by the Ministry of Knowledge Economy.
The country’s exports reached $47.36 billion in March, down 1.4 percent on-year, with imports contracting 1.2 percent to $45.03 billion, the monthly report said.
Last month’s positive trade balance is larger than the $1.53 billion surplus tallied for February, when the country shipped out $46.39 billion worth of goods and imported $44.86 billion. In October 2009, the country posted a trade surplus of $3.63 billion but its exports and imports contracted 8.5 percent and 16.0 percent, respectively.
“Overall volume increased from February yet fell short of numbers reached in March 2011 when the country’s export of ships boomed and shipments to Japan jumped because of the devastation caused by the massive earthquake and tsunami,” the ministry said.
Last month’s imports were affected by local companies buying less commodities from abroad.
The ministry said exports of autos, refined petroleum products and car parts all grew compared to the year before, but gains were offset by weak demand for ships and mobile communication devices.
Shipments of autos jumped 35.1 percent on-year with numbers for petroleum products going up 7.6 percent. Exports of ships and mobile devices, however, plunged 27.6 percent and 32.0 percent, respectively.
The ministry, which is in charge of the country’s industrial policies and trade promotion, said exports to the Middle East, Commonwealth of Independent States and the United States did well, although shipments to the European Union and China fell sharply last month from a year earlier. (Yonhap News)
