S. Korea’s exports likely to continue decline in August

[THE INVESTOR] South Korea’s exports appear unlikely to recover in August, feeding concerns that figures will drop for the 20th consecutive month.

According to the Korea Customs Service, South Korea’s August exports stood at about US$22.45 billion on Aug. 20, down 0.3 percent compared to the same period last year. 

Although the government has hinted that exports could begin a recovery from August, the won’s climb against the dollar is casting doubt on the projections.

In August, the biggest exports drop was seen in petrochemicals, which plunged 32.3 percent. By destination, exports to the country’s three largest export destinations -- China, the US and European Union -- declined in the first 20 days of August.

South Korea’s monthly exports have shown year-on-year drops for 19 consecutive months, a record downward run not seen since 1970.

By Choi He-suk (cheesuk@heraldcorp.com)