South Korea’s November exports beat forecasts, led by chips and vehicles

SEOUL - South Korea’s exports rose in November for a sixth consecutive month, beating market expectations, as chip sales hit a record on strong technology demand while vehicles also jumped after a US trade deal.

Exports from Asia’s fourth-largest economy, a bellwether for global trade, rose 8.4 per cent from the same month a year earlier to US$61.04 billion (S$79 billion), trade data showed on Dec 1, stronger than a median 5.7 per cent increase tipped in a Reuters poll of economists.

That was also faster than a 3.5 per cent rise in October.

Semiconductor exports surged 38.5 per cent to a record monthly high of US$17.26 billion, as strong demand for advanced chips used in data centres led to higher memory chip prices.

Auto exports jumped 13.7 per cent as uncertainty was cleared over US tariffs after South Korea finalised a trade deal with the US in November, following months of negotiations.

Still, shipments to the US were down 0.2 per cent, as steel products, machinery and auto parts fell due to tariff impact.

Shipments to China rose 6.9 per cent, while those to South-east Asian countries rose 6.3 per cent. Shipments to the European Union fell 1.9 per cent.

The Bank of Korea signalled last week it was near the end of its monetary easing cycle as it raised its economic growth forecast for 2026 on strong semiconductor exports.

The trade-reliant economy grew in the third quarter at the strongest pace in 1½ years, as exports remained robust on technology demand, countering headwinds from US tariffs.

Imports rose 1.2 per cent to US$51.3 billion in November, after falling 1.5 per cent in October. That was weaker than a 3.4 per cent rise expected by economists.

The monthly trade balance stood at a surplus of US$9.7 billion, compared with the previous month’s US$6 billion and the biggest since September 2017. REUTERS