According to the data released by the Export and Import Division of South Korea's Ministry of Knowledge Economy, in January this year the country posted a $1.96 billion trade deficit for the first time in two years. The shortfall was attributed to the lower number of working days because of the Lunar New Year holiday and to a downturn in the shipbuilding industry.
The country's total export value in January fell by 6.6 percent year on year, decreasing to $41.5 billion, due to the prolonged debt crisis in Europe which has increased global economic uncertainty. South Korea's steel exports were valued at $3 billion in January this year, increasing by 4.6 percent compared to the same month last year.
South Korea's export value of ships in the given period fell by 41.5 percent year on year to $3.9 billion, while its automobile exports reached a value of $3.5 billion, climbing by 4.1 percent year on year. Furthermore, in January South Korea's general machinery exports came to $3.7 billion, with an increase of 6.7 percent compared to January 2011.
In the given month, exports to emerging economies such as China and ASEAN countries continued to grow, while exports to advanced countries (i.e., the European Union) posted a decrease compared to the same month last year.
Meanwhile, in January this year, South Korea's imports rose 3.6 percent year on year, reaching $43.5 billion. Inbound shipments of raw materials gained 12.9 percent year on year in January, on the back of significant imports of coal and crude oil.