Pace of export decline slows

The nation’s outbound shipments, a key pillar for economic growth, continued to fall in May compared to the same period a year ago, extending their longest year-on-year monthly fall to 17 months, according to data from the Ministry of Trade, Industry and Energy on Wednesday.

“Despite the continued fall in exports, the decline trend slowed last month,” the ministry said in a press release. 

Exports stood at $39.78 billion last month, down 6 percent from the same period a year ago.

The on-year monthly export fall rate in May marked the slowest this year.

On-year monthly exports fell 19 percent, 12.2 percent, 8.2 percent and 11.2 percent, respectively, for the first four months.

The export performance were mixed among the nation’s 13 largest export items. On-year outbound shipments of computers, home appliances, textiles and petrochemicals increased last month, rising 3.6 percent, 1.9 percent, 1.1 percent and 0.2 percent, respectively.

Exports of nine other key export items in such areas as general machinery, auto parts, steel, semiconductors, cars, wireless device and shipbuilding, however, declined.

Exports of five items to drive future export growth, including cosmetics, pharmaceutical and agricultural goods, increased last month, the ministry data showed. In particular, outbound shipments of cosmetics goods emerged in May jumped 60 percent from the same period a year ago.

By country, export growth to Vietnam was tops, posting a 17.7 percent rise in May from a year ago. Exports to the U.S. also inched up 0.7 percent in that period.

However, exports to China, the nation’s largest export market, fell 9.1 percent. Exports to Japan and European Union also dropped 12.4 percent and 13.1 percent, respectively.

Imports, on the other hand, continued to fall in May, plunging 9.3 percent on-year to $32.7 billion.

The bigger fall in imports accounted for a surplus in trade balance. Trade surplus stood at $7.08 billion last month, marking the 52nd consecutive month of gains.

By Seo Jee-yeon (jyseo@heraldcorp.com)