• Trade in Personal and Household Goods set togrow sizably in Q3 2019
• Imports of Basic Raw Materials bolster both airand ocean trade, partially offsetting weakness in other sectors

SEOUL, KOREA - Media OutReach - 9 July2019 - South Korea's trade outlook retainssome cause for optimism despite continued deceleration both air and ocean trade,according to latest data from the DHL Global Trade Barometer.

The DHL Global Trade Barometer, an earlyindicator of global trade developments calculated using Artificial Intelligenceand Big Data, suggests that trade in Personal and Household Goods will experiencesignificant growth between June and August 2019, rising 15 points to an indexof 89[1].However, most other sectors continue to exhibit signs of ongoing tradeweakness, with marked declines in both air and ocean exports expected, thuspulling down the overall trade outlook by 3 to an index value of 46[2].South Korea's air imports, on the other hand, look set to grow modestly thanksto rising trade in sectors like Temperature or Climate Controlled goods andBasic Raw Materials -- the latter of which is predicted to make positivecontributions to the country's ocean imports.

"South Korea's high reliance on exports hasrendered its economy particularly susceptible to the global downturn in trade,particularly as its key industries like semiconductorsand technology have been acutely affected by recent trade disputes," said SPSong, Managing Director, DHL Global Forwarding Korea. "The evolving nature ofglobal trade disputes will likely dictate the course of South Korea's own tradegrowth in the coming months, with domestic demand aided by government stimulusmeasures and broader overseas diversification likely to yield opportunities forSouth Korean businesses looking for increasingly rare growth at home."

Latest results show negative effects of trade wars

For the first time in six quarters, theBarometer's results predict a slight decline in global trade between June andAugust 2019, with its overall world trade outlook dropping to just 48 indexpoints.

Commenting on the latest forecast, Tim Scharwath,CEO of DHL Global Forwarding, Freight, said, "Amidst rising US-Chinesetensions, the slightly negative outlook for global trade for the third quarterof 2019 does not come as a complete surprise. The latest GTB clearlyillustrates why trade disputes create no winners. Nevertheless, some majoreconomies such as Germany continue to record positive trade growth. And from ayear-to-date perspective, world trade growth has still been positive. Hence, weremain confident in our initial prognosis that 2019 will be a year with overallpositive, but slower trade growth."

The continued trade disputes between the US andChina have contributed significantly to that decline, with both countriesexperiencing the largest declines in their trade outlook (-11 points for theUS, -7 points for China) out of all countries surveyed by the Barometer. In theGlobal Trade Barometer methodology, an index value above 50 indicates positivegrowth, while values below 50 indicate contraction.

Scharwath said, "The GTB is a useful tool for usto anticipate economic developments at an early stage. We are well-prepared totackle the forecasted developments. Our divisional structure and portfolio aswell as our worldwide activities allow us to balance economic effects withinthe company and remain resilient to changes in global trade dynamics."

About the Global Trade Barometer

Launched in January 2018, the DHL Global TradeBarometer is an innovative and unique early indicator for the current state and future development of global trade.It is based on large amounts of logistics data that are evaluated with the helpof artificial intelligence. The indicator is published four times a year andthe next release date is scheduled for September 2019.

For moreinformation on the DHL Global Trade Barometer, please visit: https://www.dpdhl.com/gtb.

DHL – The logistics company for the world

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 380,000 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 ispart of Deutsche Post DHL Group. The Group generated revenues of more than 61billion euros in 2018.