South Korea’s second-quarter exports hit a record high of $275.5 billion, boosted by soaring semiconductor demand and concentrated among a small group of large companies, highlighting a widening trade gap across industries.
South Korea’s export performance surged in the second quarter as semiconductor demand accelerated, lifting total shipments to $275.5 billion, according to the state data agency’s provisional trade statistics released on August 11. The figure was up 57.3% from a year earlier and marked the highest quarterly total since the agency began compiling the series in 2015. Analysts have linked the jump to stronger orders from global technology groups increasing investment in artificial intelligence infrastructure, which has sustained demand for chips and related components.
The gains were concentrated heavily in large companies. Exports by major firms rose 81.8% year on year to $206 billion, while mid-sized and smaller companies also recorded increases of 10.9% and 13.1% respectively. By sector, mining and manufacturing expanded 64.9% as electric and electronic products and petrochemicals strengthened, while wholesale and retail trade rose 14.3%. By product type, capital goods, including semiconductors and information technology equipment, climbed 87.1% and raw materials such as mineral fuels and chemical products rose 25.2%, offsetting a slight decline in consumer goods.
The concentration of trade at the top end of the market reached a new high. The 10 largest exporting companies accounted for 55.3% of all exports in the second quarter, up 17 percentage points from a year earlier and above the previous quarter’s 50.1%, according to the data agency. That is the largest quarterly share on record and reflects how closely South Korea’s export recovery is tied to a narrow group of chipmakers and other large industrial groups. The top 100 exporters accounted for 76.3% of shipments, also a record.
Imports also rose, though at a far slower pace. They increased 22.4% from a year earlier to $188.9 billion, supported by higher purchases by large, mid-sized and small firms across manufacturing, wholesale and retail, and other industries. The pattern underscores how semiconductor-led growth is widening the gap between the country’s biggest exporters and the rest of the business sector, even as overall trade momentum strengthens.
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