Exports in March slide slightly for first time in 23 months

Exports in March dropped slightly for the first time in 23-months. The Korea Customs Service reported exports of $14.17 billion this March, a small decrease of 1.8 percent, the first dip since April 1999. Imports in March stood at $12.92 billion, falling by 9.0 percent over a year earlier thanks to declining international oil prices and shrinking plant investment. The trade surplus was up, $1.24 billion in the black, compared with the same period of last year.

Export declines were accounted for by semiconductor prices falling and overseas demand shrinks based on U.S. and Japanese economy slow downs. Light industries as well as heavy and chemical industries fell together.

By area, exports bound for developed countries declined by 4.2 percent. Developing and Southeast Asian countries sustained a mere 0.7 percent increase.

In the mean time, imports continued to decrease this March, showing a 9.0 percent drop under the combined influence of recent domestic economies sliding, a shrinking export environment, dropping international oil prices and the won's depreciation against the dollar. Consumer goods rose slightly, while on the other hand, raw materials and capital goods dipped.

Raw materials shrank by 4.4 percent compared to the period a year ago, thanks to domestic business regressions, declining international oil prices, and lessened oil imports. Capital goods decreased by 17.5 percent over the same period last year in the wake of blunted plant investment since the third quarter of last year and a contracting export economy. Consumer goods maintained a 5.6 percent increase thanks to improved consumer confidence, in spite of raw and capital material decreases. By area, imports from developed countries showed a 14.6 percent decrease, while imports from developing and Southeast Asian countries dropped by 1.9 percent.