South Korea June 1-20 exports up as US shipments rise despite tariffs

SEOUL: South Korea’s exports for the first 20 days of June rose 8.3% from a year earlier, after falling in May for the first time in four months, early data showed on Monday.

Exports of semiconductors rose 21.8%, while cars and ships gained 9.2% and 47.9%, respectively, according to the customs agency. Steel products rose 1.6%.

Shipments to the US rose 4.3%, despite President Donald Trump’s sweeping tariffs, but those to China fell 1.0%.

“Exports seem better than expected as tariffs are currently paused except the 10% baseline duty applying to all countries,” said Park Sang-hyun, an economist at iM Securities.

“But, with the deadline set for next month, it is still early to make assessments,” Park said, also noting US consumer demand and geopolitical tensions in the Middle East as major factors.

South Korea exports fall as tariffs hit US, China shipments

South Korea’s chief trade envoy is visiting the US this week for senior and working-level trade talks, the first since President Lee Jae Myung took office on June 4 and two weeks ahead of the July 8 deadline set between Seoul and Washington for a trade package reducing tariffs.

Exports are expected to fall 0.6% in the first half of the year and 3.8% in the second half as demand for semiconductors slows, Korea International Trade Association said on Monday.

The country’s central bank also sees the impact of US tariffs starting to take effect from the third quarter.