Boosted by AI-related demand, South Korean exports continue to surge

Golden Ten Data reported on May 1 that driven by semiconductor shipments, South Korea’s exports continued to surge in April, indicating that this trade-dependent economy remains resilient despite risks arising from Middle East conflicts. Semiconductor shipments soared as global tech companies ramped up their construction of artificial intelligence infrastructure. Semiconductor shipments account for about a quarter of the country’s total exports. This result highlights how AI-related demand helps high-tech economies withstand volatility associated with Middle East conflicts. Leading memory chip manufacturers such as Samsung Electronics and SK Hynix achieved record-high profits in the first quarter, and despite soaring input costs due to the Iran conflict, they are expected to continue to break records this year. South Korea’s Ministry of Trade, Industry and Energy stated on Friday that exports in April rose by 48.0% year-on-year to $85.89 billion, following a revised gain of 49.2% in March. Imports grew by 16.7% year-on-year to $62.11 billion, resulting in a trade surplus of $23.77 billion in April. Strong memory chip shipments continued to drive export growth, offsetting weakness in categories such as automobiles and steel.