South Korea trade growth to accelerate in Q3 2018

July 04, 2018 - 03:15
South Korea trade growth to accelerate in Q3 2018

  • DHLGlobal Trade Barometer forecasts trade growth for both air and ocean freight
  • Thecountry's trade growth is driven primarily by trade in High Technology, CapitalEquipment & Machinery, as well as Chemicals & Products

 

SEOUL, KOREA - Media OutReach - 04 July 2018 - SouthKorea's trade growth has been predicted to surge with a significant increase by5 points,according todata from the DHL Global Trade Barometer released by DHL, the world's leadinglogistics company. The country's overall index has increased to 74 points, from69 points in the last quarter.




The DHL Global Trade Barometer, an early indicator ofglobal trade developments calculated using Artificial Intelligence and BigData, predicts air trade in South Korea to grow by 6 points to73 points due to strong imports of High Technology & Industrial RawMaterials as well as exports of High Technology and Machinery Parts. Ocean exports,driven by the Chemicals & Products sector as well as Land Vehicles & Partswill contribute to the 4-point growth in overall ocean trade, at 74 points. The country's trade inconsumer fashion goods also experienced a swift rebound back to growth territoryafter dipping last quarter, with increased imports pointing to strongerconsumer confidence in the medium term.


"South Korea's economy is rebounding as demand remainsstrong for its high-quality manufacturing goods: semiconductor sales, forexample, rose 45% in May to generate a record US$10.9 billion worth of exports,[1]" saidSP Song, Managing Director, DHL Global Forwarding Korea. "We are now looking ata trade surplus of US$6.73 billion[2] forthe country, with these figures indicating welcome tailwinds ahead for economythat we believe will continue to bolster domestic consumption amongst SouthKoreans."


The DHL Global Trade Barometer's results also suggestthat Asia Pacific is expected to uplift global trade growth in the comingquarter. In addition to the optimistic outlook for South Korea, the economiesof China, India and Japan continue to maintain their high rankings on the indexwith promising forecasts for the coming months. Strong growth in ocean freightacross Asia Pacific, coupled with steady or rising air freight traffic in theregion's leading economies, is testament to the Asian economy's growthespecially in the areas of technology.


Developedjointly by DHL and Accenture, the DHL Global Trade Barometer provides aquarterly outlook on future trade, taking into consideration the import andexport data of seven large economies: China, South Korea, Germany, India,Japan, the United Kingdom, and the United States. Together, these countriesaccount for 75 percent of world trade, making their aggregated data aneffective bellwether for near-term predictions on global trade. The DHL Global TradeBarometer, which assesses commodities that serve as the basis for furtherindustrial production, predicts that global trade will continue to growin the next three months, despite slight losses in momentum.

 

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DHL is the leading global brand in the logistics industry. Our DHL familyof divisions offer an unrivalled portfolio of logistics services ranging fromnational and international parcel delivery, e-commerce shipping and fulfillmentsolutions, international express, road, air and ocean transport to industrialsupply chain management. With about 360,000 employees in more than 220countries and territories worldwide, DHL connects people and businessessecurely and reliably, enabling global trade flows. With specialized solutionsfor growth markets and industries including technology, life sciences andhealthcare, energy, automotive and retail, a proven commitment to corporateresponsibility and an unrivalled presence in developing markets, DHL isdecisively positioned as "The logistics company for the world".


DHL is part ofDeutsche Post DHL Group. The Group generated revenues of more than 60 billioneuros in 2017.



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