Balance of trade: with South Korea
South Korea: Trade deficit with Japan expands: Ministry of Trade, Industry and Energy
Ministry of Trade, Industry and Energy:
South Korea’s trade deficit with Japan widened again last year.
The Ministry of Trade, Industry and Energy revealed on January 9.
Trade deficit with Japan:
In 2019, it recorded a deficit of $ 19,161 million, the lowest level since 16 years.
In 2020, it recorded a deficit of $ 20,840 million in trade with Japan.
It is approaching the $ 24,075 million level in 2018.
Last year, exports to Japan plummeted by 11.8% year-on-year.
On the other hand, imports fell by 3.5%, not so much.
Slumping exports to Japan:
Last year, South Korea’s exports to Japan fell sharply on December 25, to 11.8% year-on-year.
Exports of main products were sluggish.
Exports to Japan plummeted:
Chemical products: 25.1% decrease from the previous year,
Steel: 23.3% decrease from the previous year,
Auto parts: 34.9% decrease from the previous year,
Petroleum products: decreased by 32.5% from the previous year.
Causes of trade deficit:
In South Korea’s materials, parts, and equipment industry, “import dependence on Japan” remains high.
Most of the items with the largest trade deficit with Japan are materials, parts and equipment.
The influence of “Japan’s export restrictions applied to the three core materials required for semiconductor production” is significant.
“Reactor / Boiler / Mechanical Parts”:
Last year, it had a deficit of $ 5,768.97 million.
The deficit increased by $ 791.66 million in one year.
“Electrical equipment, recorders, audio players, TV video and audio recorders”:
The second largest trade deficit
Furthermore. The deficit expanded to $ 4,053,680,000.
In addition, the deficit of “plastics and plastic products” has also increased.
Korean Government:
The Korean government has declared that it will strengthen the competitiveness of materials, parts and equipment under Japanese export restrictions.
However, there is still a long way to go.
Joongang Ilbo
https://s.japanese.joins.com/JArticle/274263?sectcode=A10&servcode=A00
South Korea’s machinery industry: falls to 8th place in the world
Korean Machinery Industry:
The scale of exports has fallen from 5th to 8th in the world for the first time in 8 years.
Korea Machinery Industry Promotion Association:
A document entitled “Machine industry in major countries as seen in UN statistics” released recently.
From 5th to 8th place:
According to 2018, South Korea’s machinery industry exports ranked 8th with 235 trillion won ($ 217 billion).
It ranked fifth with 257 trillion won (about 237 billion dollars).
However, it has dropped three steps compared to a year ago.
It was pushed out for the first time in eight years from the fifth place that has been maintained since 2010.
Machinery industry shrinks:
The 52-hour work week hit the Korean manufacturing industry.
The Serious Disaster Enterprise Punishment Law is enforced.
Experts say that there is a high possibility that the development of the machinery industry will shrink due to the tightening of various regulations.
Joongang Ilbo
https://s.japanese.joins.com/JArticle/274278?sectcode=300&servcode=300
View in the graph! Trade balance: Japan’s trade balance with South Korea on a monthly basis
[Source] Ministry of Finance Trade Statistics