Semiconductor export volume and production increase in Korea
- 5 years ago
South Korea's exports fell for the 11th consecutive month this October amid slowing global trade and the on-going U.S.-China trade spat.
But the production and export volume of semiconductors has been going up and demand for chips is expected to rise.
Kim Hyesung reports.
Data shows semiconductor exports, which account for about a fifth of South Korea's total exports, are likely to go up in 2020.
According to the trade ministry on Monday, semiconductor export volume went up 16 percent on-year to more than 25-hundred tons last month.
Between January and October, chip export volume was up 5 percent on-year, and export volume increased by double digits on-year since July.
Semiconductor production also increased.
Data shows chip production in the third quarter went up 8 percent on-year.
But the value of chip exports plunged 26 percent on-year to around 79 billion U.S. dollars in the months through October due to a sharp fall in memory chip prices like Dram and Nand flash on oversupply.
Chip prices plunged 14 percent on-year in the first half of 2019, the biggest fall in about a decade.
The 2019 figure so far is still higher than what was tallied between January and October in 2017 and 2018.
Market watchers say with memory chip prices having bottomed out and global demand for chips to increase on demand from data centers and the wider adoption of 5G technology in AI and IoT, the value of chip exports is expected to recover next year.
Global research institutes expect demand for memory chips to go up by between 5-point-five and 17 percent on-year in 2020.
Kim Hyesung, Arirang News.
But the production and export volume of semiconductors has been going up and demand for chips is expected to rise.
Kim Hyesung reports.
Data shows semiconductor exports, which account for about a fifth of South Korea's total exports, are likely to go up in 2020.
According to the trade ministry on Monday, semiconductor export volume went up 16 percent on-year to more than 25-hundred tons last month.
Between January and October, chip export volume was up 5 percent on-year, and export volume increased by double digits on-year since July.
Semiconductor production also increased.
Data shows chip production in the third quarter went up 8 percent on-year.
But the value of chip exports plunged 26 percent on-year to around 79 billion U.S. dollars in the months through October due to a sharp fall in memory chip prices like Dram and Nand flash on oversupply.
Chip prices plunged 14 percent on-year in the first half of 2019, the biggest fall in about a decade.
The 2019 figure so far is still higher than what was tallied between January and October in 2017 and 2018.
Market watchers say with memory chip prices having bottomed out and global demand for chips to increase on demand from data centers and the wider adoption of 5G technology in AI and IoT, the value of chip exports is expected to recover next year.
Global research institutes expect demand for memory chips to go up by between 5-point-five and 17 percent on-year in 2020.
Kim Hyesung, Arirang News.