South Korea's export growth to diminish next year

South Korea’s export growth to diminish next year

Korea International Trade Association (KITA) said today that the weak US Dollar and the worsening global economic environment will reduce the growth rate of South Korea's exports to around 10% next year. South Korea's annual exports are expected to increase by 33% to $252 billion while trade surplus will reach $30 billion by the end of the year. On the other hand, the sliding value of the US Dollar and global economic conditions, including China's macro-economic control measures and high crude oil prices, will impact the South Korea's exports negatively next year. KITA points out that strong global demand for five major export items such as cellular phones, semiconductors, steel, shipbuilding and automobiles, which account for 44% of the Korea's total exports, will diminish next year, reducing the overall growth rate for South Korea's exports in 2005.