Ministry of Trade, Industry and Energy

Vice Minister Welcomes Mozambican Business Leader

Vice Minister Welcomes Mozambican Business Leader Vice Minister for Trade and Energy Park Young June greets Mr. Nelson Ocuane, head of the Mozambican state-owned oil company Empresa Nacional de Hidrocarbonetos de Mocambique (ENH), in Gwacheon, south of Seoul, February 8. Their discussion focused on energy partnerships and resources development date2011-02-16

Vice Minister Praises High-Performing Foreign Investors

Vice Minister for Industry and Technology Ahn Hyunho recently addressed representatives of the 10 foreign-invested businesses in Korea with the best investment performances of 2010. Vice Minister Ahn praised the companies’ contributions to Korea’s economy, particularly in terms of job creation, and called for their continued support. The Vice Minister noted that 2010 was a good year for foreign direct investment in Korea, with inflows reaching their highest level in nearly a decade. (For further information, please see the press release dated January 5.) In 2011, however, prospects are more uncertain for the world economy and global investment activities. Vice Minister Ahn pointed to Korea’s advantages—specifically, to its strong signs of recovery from the recession and its progress on bilateral trade partnerships with key partners—to show that the country is still a wise investment choice. He promised that Korea would remain attentive to the concerns of foreign investors and would continue to strive for an ideal business environment. To make the most of Korea’s strong economic growth, the Vice Minister encouraged foreign-invested businesses to seek partnerships with local businesses and to increase investment in Korea’s new growth engine industries. He also encouraged them to share their experiences with potential investors at investment promotion seminars.   * Released by the Investment Promotion Division     date2011-02-11

IT Trade Figures for January

The Ministry of Knowledge Economy has released its IT trade figures for January. The national trade balance in the information technology sector totaled $5.85 billion.   Amid fiercer competition in the global IT market, IT exports gained 16.3 percentyear on year to record $12.83 billion, displaying double-digit growth for the 15th consecutive month. Growth remained positive for most key export items, with outbound shipments of semiconductors rising 23.9 percent. Although exports of display panels grew at a slower rate, shipments to emerging markets expanded. Outbound shipments of smartphones shot up 407 percent, bolstering exports of mobile phones in general (up 12 percent). Notably, outbound shipments of solar cells jumped 47.5 percent. Solar cells displayed particularly impressive growth in 2010 (297 percent), creating high expectations for its future role in Korea’s export market.     With the exception of the European Union, exports to primary trading partners China, the United States and Japan increased. Exports of semiconductors to China climbed 25.2 percent, while outbound shipments of mobile phones to the United States gained 28.9 percent. Notably, exports of mobile phones to Japan shot up 524 percent.     IT imports rose 29.5 percent compared with the same period in 2010 to record $6.98 billion. Inbound shipments of mobile phones and electronic components gained 91.1 percent and 24.7 percent, respectively. Tablet and Netbook computers were the main factors behind increased imports of computers and related devices (up 31.3 percent).   * Released by the Electronics and IT Policy Division date2011-02-09

Trade Figures for January

The Ministry of Knowledge Economy has released its trade figures for January. The nation’s trade balance is back in the black after three years in the red, recording $2.96 billion. Year on year, exports hit an all-time high in January. On the back of strong outbound shipments of semiconductors and ships, exports rose 46 percent compared with January 2010 to reach $44.89 billion. The average value of all exports per day climbed 42.9 percent to $1.95 billion. Most of the major export items showed a notable increase; in particular, ship exports displayed three-digit growth. Exports to most of Korea’s key trading partners increased during the first 20 days of January, with outbound shipments to Latin America jumping 137.7 percent. Exports of ships to China and Latin America went up dramatically, posting respective increases of 872.1 percent and 1,324.9 percent. Outbound shipments of steel to the United States (70.7 percent) and the European Union (63.9 percent) also surged.   Meanwhile, imports shot up 32.9 percent to $41.93 billion. The average value of all imports per day increased 30.1 percent to $1.82 billion. Inbound shipments of raw materials went up 29.1 percent, while imports of capital goods and consumer goods rose 25.6 percent and 68 percent, respectively. Imports from major trading partners increased.     * Released by the Export and Import Division date2011-02-01

Parts and Materials Industry Trade Figures for 2010

  The Ministry of Knowledge Economy has released its parts and material industry trade figures for 2010. Following a decline in trade volume in 2009 amid a weakened global economy, 2010 was a good year for exports and the trade balance, both of which hit an all-time high. The trade balance in the parts and materials industry stood at $77.9 billion—lmost double the corresponding figure for all industries, which recorded $41.7 billion. Parts and materials exports climbed 34.1 percent from a year earlier to record $229.3 billion. In particular, outbound shipments of semiconductors, automobile parts and display panels showed a strong increase. Although import growth slowed in the second half of the year, increased domestic demand and robust exports in key industries led inbound shipments for this sector to gain 26.4 percent. In particular, imports of transportation machine parts and basic metals surged.     * Released by the Components and Materials Policy Division   date2011-01-12

IT Trade Figures for 2010

The Ministry of Knowledge Economy has released its IT trade figures for 2010. The national trade balance in the information technology sector rose 32.7 percent to $78.2 billion—asily surpassing the previous record of $60.4 billion, which was set in 2007. IT exports climbed 27.3 percent to an all-time high of $154 billion. Semiconductors became the first single export item to exceed $50 billion. Thanks to increased demand and international sporting events such the World Cup and the Asian Games, display panel exports rose for a ninth consecutive year. Television manufacturers benefited from growing export markets for LED and 3D models. Most notably, outbound shipments of smartphones rose sharply—he figure more than doubled compared with 2009, finishing at $6.54 billion. This impressive performance counteracted a decline in conventional mobile phone exports, resulting in year-on-year increases of 2.1 percent for October and 8.7 percent for November for mobile phones in general.     Exports to primary trading partners China, the United States, the European Union and Japan posted double-digit growth rates. Exports of semiconductors to China surged 82.8 percent, while outbound shipments of televisions to the United States gained 65.6 percent. Exports of semiconductors to the European Union shot up 81.6 percent.     IT imports climbed 22.2 percent to $75.76 billion. Inbound shipments of mobile phones and computers and related devices increased 37.2 percent and 29.5 percent, respectively. For the month of December, IT exports rose 15.6 percent to $13.05 billion. The movement of key export items also increased: mobile phones (up 21.7 percent), semiconductors (up 23.5 percent) and display panels (up 1.1 percent). Exports to most of Korea’s primary trading partners increased, but the European Union proved to be an exception.     * Released by the Electronics and IT Policy Division date2011-01-07

Foreign Investment Figures for 2010

Foreign direct investment (FDI) pledges rose 13.8 percent year on year to record $13.07 billion, the highest level seen in a decade. Throughout the previous six years, the figure had hovered near the $10 billion to $11 billion range.     Although global FDI flows remained stagnant in 2010, the inflow of foreign capital increased, possibly due to greater trust in the country’s sound economic fundamentals. Notably, investments from the United States and Japan shot up drastically in the second half of the year—2.2 percent and 93.4 percent, respectively—fter a marked downturn in the first half. FDI in the manufacturing sector rose dramatically to $6.54 billion, representing a 75.6 percent year-on-year increase, while service-related investments dropped 18 percent to $6.23 billion. New growth engine sectors accounted for 23.6 percent of all investments; in contrast, the corresponding figure for 2009 was 18.8 percent. FDI through mergers and acquisitions fell 40.4 percent to $2.01 billion.   Percentage of All Investment Amid rising FDI from emerging countries, investments from China jumped 159.2 percent to record $414 million. Ninety percent of this amount came in after the launch of a “China Desk” in May, which assists Chinese investors. Investments from the United States and Japan increased 28.3 percent and 7.7 percent, respectively.   * Released by the Foreign Investment Policy Division   date2011-01-05

Trade Figures for 2010

The Ministry of Knowledge Economy has released its trade figures for 2010. Thanks to robust exports and lower-than-expected international oil prices, Korea’s trade balance hit an all-time high, posting a $41.7 billion surplus. Exports gained 28.6 percent year on year to reach $467.4 billion, the highest level on record. With the exception of September, exports consistently showed more than 20 percent growth throughout the year. Exports to most key trading partners increased during the period between January 1 and December 20; Oceania was a notable exception.     Among 70 major exporters in the World Trade Organization, Korea ranked seventh for the first 10 months of 2010—head of Italy, Belgium and the United Kingdom. (China topped the list, followed by the United States and Germany.) Korea is expected to retain seventh place for all of 2010.     Meanwhile, imports increased 31.8 percent to record $425.7 billion. Inbound shipments of equipment and parts related to key export items increased, consumer confidence improved, and raw material prices rose. All these factors contributed to high import growth rates. Inbound shipments of raw materials went up 34.5 percent, while imports of capital goods and consumer goods rose 28.8 percent and 29.4 percent, respectively. For the month of December, the trade surplus totaled $3.74 billion. Exports climbed 23.1 percent to $44.34 billion, while imports went up 23.3 percent to $40.6 billion. Exports of most of Korea’s 13 major export items showed an upward trend. Notably, outbound shipments of petroleum products and automobile parts grew 34.2 percent and 35.3 percent, respectively, year on year.   * Released by the Export and Import Division date2011-01-04

Korea Strengthens Investment Ties with Central Asian Partners

Deputy Director for International Trade and Investment Kim Kyungsik addresses representatives of five Central Asian countries—Kazakhstan, Uzbekistan, Turkmenistan, Tajikistan and Kyrgyzstan—at a joint investment forum held December 2 in Seoul. This was the third event of its kind. date2010-12-03

Korea, U.S. Business Coalition Discuss Free Trade Agreement

Vice Minister for Trade and Energy Park Young June (third from left) presides over a meeting in Gwacheon on October 15. Nearly 20 representatives of the U.S.-Korea FTA Business Coalition attended the meeting, which focused on investment, the Korea-U.S. FTA, and the industrial technology partnership between the two countries. The Coalition is composed of companies, industry associations, and other FTA supporters who would like to see the deal ratified at an early date. date2010-10-18