SEOUL, 1st June, 2025 (WAM) – South Korea’s exports slipped in May for the first time in four months, dragged down by falling shipments to the United States and China, even as semiconductor exports surged to a record high for the month.
According to data released by the Ministry of Trade, Industry and Energy on June 1, exports totaled $57.27 billion in May, down 1.3% from a year earlier. Imports also declined, falling 5.3% to $50.33 billion.
This marks the first year-on-year decline in monthly exports since January. South Korea had posted export growth for 15 consecutive months through December 2023, before a dip in January caused by an extended holiday period.
By destination, exports to the U.S. dropped 8.1% to $10 billion. The decrease followed a series of tariff hikes by the U.S. government—25% duties on steel and aluminum in March, cars in April, and auto parts in May, along with a 10% base tariff under the reciprocal tariff policy. Exports to China also declined 8.4% to $10.4 billion.
Due to U.S. auto tariffs, car exports fell 4.4% to $6.2 billion, while semiconductor exports soared 21.2% to $13.8 billion, the highest ever for May.
The U.S. tariffs seem to be affecting the global economy and Korea's exports, proven by a decrease in Korea's exports to the two biggest markets — the U.S. and China," Minister of Trade, Industry and Energy Ahn Duk-geun said.
"In particular, the sharp drop in international oil prices to the low $60 range in May led to a more than 20 percent on-year decline in exports of petroleum and petrochemical products, which was another major factor in the overall decrease in outbound shipments," he added.