Ministry of Trade, Industry and Energy

Bupyeong Industrial Complex celebrates 50th anniversary

The Ministry of Trade, Industry and Energy (MOTIE) announced on August 21 that Bupyeong National Industrial Complex is celebrating its 50th anniversary this year.     Designated as a National Industrial Complex in 1965 according to the Export Industrial Complex Development Act, the complex located in Changcheon-dong, Bupyeong-gu, Incheon currently houses a total of 761 companies on 610,000㎡ (6.5 mil sqft) of land.     It's the largest industrial complex in Korea for electric and electronics businesses, and 54.3 percent of the entire area is currently occupied by foreign invested companies.     Last year alone, it produced goods worth 2.9 trillion ($ 2.6 billion) and exported 2.8 trillion won worth of goods. There are more than 12,000 people currently working there.     * Short version date2015-08-21

Export and Import Trends for July 2015

    □ South Korea’s exports fell 3.3 percent to $46.6 billion and imports decreased 15.3 percent to $38.8 billion in July from a year earlier, resulting in a trade surplus, for the 42 consecutive month, of $7.76 billion.   □ The volume of overseas shipments rose while unit prices fell as a result of factors such as falling oil prices and global oversupply. - By product, exports including petro products and petrochemical products increased. Shipments of steel, ships, and semiconductors rose, while those of automobiles, mobile telecom equipment, and home appliances decreased. Exports of OLED and cosmetics also showed steady gains. By region, exports declined for most regions amid the global trade slowdown. - Exports to Vietnam increased sharply due to increasing local production of South Korean wireless communication devices and home electronic appliances.   □ Unit prices of major raw materials continued to decrease and imports of consumer goods fell slightly, while capital imports remained strong.   □ ○ South Korea’s export volume maintained an upward trend despite a continued decline in exports in terms of dollar-denominated value. The profitability of export companies will likely improve slightly as won-denominated exports increased 8.4 percent in July thanks to a more favorable exchange rate.   ○ The downward trend in overseas shipments could continue for the time being due to unfavorable external conditions such as a decline in world trade, falling oil prices, and the weakening yen and euro. - Exports of semiconductors and solid state drives (SSDs) are likely to show solid growth as a result of rising demand for automobiles, smartphones (in emerging countries), and wireless communication devices on the back of new product introductions.   ○ The Korean government plans to focus on seeking new opportunities to promote exports of products such as cosmetics, SSDs, and organic light emitting diodes (OLEDs), while implementing measures to reinvigorate short-term exports announced in April and other steps aimed at strengthening export competitiveness in July as scheduled.   date2015-08-10

ROK, China, Japan to Hold 8th Round of FTA Negotiations

  □ The Republic of Korea (ROK) will hold the eighth round of working-level negotiations for a trilateral free trade agreement (FTA) with China and Japan from July 20 to 24, 2015, in Beijing, China.   ○The three countries will send their delegations, led respectively by Yoo Myung-hee, director-general of FTA negotiations at the ROK’s Ministry of Trade, Industry and Energy (MOTIE), Hong Xiao Dong, deputy director-general of the Department of International Trade and Economic Affairs at China’s Commerce Ministry, and Tatsuo Sato, deputy director-general of the Economic Affairs Bureau at Japan’s Ministry of Foreign Affairs.   * The trilateral FTA negotiations have been divided into working-level and chief negotiators’ talks, which take place separately, since the sixth round.   □ The ROK, China and Japan have held seven rounds of the trilateral talks under the principle of pursuing a "comprehensive and high-level FTA" since they declared the launch of the negotiations in November 2012.   ○They have addressed a wide range of issues including not only products, services, and investments, but also customs, trade remedies, sanitary and phytosanitary measures (SPS), technical barriers to trade (TBT), competition, intellectual property rights, e-commerce, environment, general principles, and cooperation.   □ The eighth round of talks will focus on key issues such as guidelines for negotiations on product concessions and the method for liberalizing services trade and investments, while more than 20 task forces or expert dialogues responsible for rules, areas of cooperation, and other issues will hold meetings to work out the details of the agreement and to exchange ideas on the key elements.   ○The eighth round of chief negotiators' talks is scheduled for September in China, based on the outcomes of the working-level meetings.   date2015-08-05

Electricity Sales Trends in 2Q and Major Retailers Sales Trends in June 2015

Electricity Sales Trends in 2Q and Major Retailers Sales Trends in June 2015   □ The volume of South Korea's total electricity sales increased by 1.6 percent from a year earlier in the second quarter of 2015. ㅇ The overall electricity consumption increased, and in particular, the volume of electricity used for agriculture skyrocketed. This was mainly caused by a rise in the use of water lift pumps due to seasonal droughts. The volume of electricity sales for industrial use edged up by 0 date2015-07-30

ICT Export and Import Trends in June 2015

    □ South Korea’s exports of information and communications technology (ICT) products increased by 0.2 percent to $13.95 billion, and imports decreased by 2.4 percent to $7.28 billion in June 2015 from a year earlier, resulting in a monthly surplus of $6.67 billion.   □ : Shipments of key items including mobile phones and system semiconductors rose in spite of unfavorable external conditions, such as a contracting global ICT market and deteriorating trade environment. ICT exports rose 2.0 percent in May and 0.2 percent in June, extending their growth, by a small margin, for the second consecutive month. - By product, exports of cell phones, semiconductors, and computers and peripherals increased, while those of display panels and digital TVs dropped from a year earlier. - By region, shipments to the European Union (EU) decreased as a result of a slowing economy and a weaker Euro, while those to Asia and the United States (US) increased. Exports to the Association of Southeast Asian Nations (ASEAN) countries jumped on the back of rising demand for cell phone parts and semiconductors.   □ : Year-on-year ICT imports decreased for the first time in 2015. - By product, a rise in imports of cell phones and semiconductors was offset by a fall in incoming shipments of computers and peripherals and digital TVs. By region, imports from the US jumped, while those from the EU, China and the ASEAN countries decreased.   □ South Korea’s total ICT trade showed a surplus of $6.77 billion for the month of June due to a positive balance in such key items as semiconductors, cell phones, and display panels, contributing to the country’s overall trade surplus of $10.24 billion.   ○South Korea’s ICT trade has registered consistent surpluses, showing a positive balance of $4.82 billion with China (including Hong Kong), $0.29 billion with the EU, and $0.77 billion with the US in June 2015. The country recorded a trade deficit of $0.36 billion with Japan for the month.   □ ICT exports during the first half of 2015 fell by 0.2 percent from a year earlier to $83.59 billion while imports rose 4.1 percent to $43.97 billion, resulting in a surplus of $39.62 billion.     date2015-07-30

Export and Import Trends for June 2015

  □ Korea’s exports fell 1.8 percent to $46.9 billion and imports dropped 13.6 percent to $36.7 billion in June from a year earlier, resulting in a trade surplus, for the 41st consecutive month, of $10.2 billion.   The slowdown in exports eased in June thanks to two and a half more working days, a pause in the fall of oil prices, and the completion of maintenance activities in the petrochemical and petro product industries. - By product, shipments of automobiles, mobile telecommunication devices, and steel showed an increase. The recent recovery in crude prices mitigated a decrease in exports of petro products and petrochemicals. However, shipments of semiconductors, ships, textiles, and flat panel displays decreased. By region, exports to ASEAN, the US, and China gained.   The unit prices of major raw materials continued to decrease, and imports of capital and consumer goods increased.   - Both exports and imports were stagnant in the first half of the year due to negative external conditions such as falling oil prices, the weakening yen and euro, and slowdowns in global trade and import demand from China. 1. Oil prices plunged 46.5 percent from the same period a year ago, leading to a sharp decline in exports of petroleum products and petrochemical products. 2. The weakening yen and euro also aggravated the price competitiveness of automobiles, general machinery, and other competitive items in the major export markets, causing a downturn in exports to the country’s major export markets. 3. Global economic growth slowed as the world economy grew less than expected and import demand from China declined. - Export conditions are expected to improve slightly for some items, helped by the launch of new products including automobiles and wireless communication devices. Nevertheless, external threats will continue, such as the won's appreciation against major currencies, a slowdown in imports by China, and political unrest in Europe. - The Korean government plans to announce a special package of measures this month to help strengthen the country’s export competitiveness, while continuing to monitor export conditions at home and abroad. These measures will focus on improving the competitiveness of the country’s core industries through innovation in the manufacturing sector in the mid- to long-term, and on diversifying export items and markets.   date2015-07-15

The total number of female researchers at corporate research centers to surpass 46,000

The Ministry of Trade, Industry and Energy (MOTIE) announced on July 13 that according to a survey by the Korea Industrial Technology Association, the total number of female researchers at corporate research centers as of June 2015 reached 46,032, which is over 2,700 more than the end of last year. At this rate, the increment is likely to reach over 4,400 by this year, exceeding that of last year.     Compared to their male counterpart, more female researchers have a master's or PhD degree, As of June this year, the number of female researchers with a master's degree has increased by 15.0 percent and those with a PhD degree has increased by 9.6 percent compared to the end of last year.     The Korean government put the MOTIE in charge of increasing the number of female researchers in various industries and the MOTIE has been making multilateral efforts to open childcare centers at industrial complexes for working moms and provide female middle school, high school and college students with an opportunity to visit the industrial sites.     The MOTIE plans to host a job forum for female researchers that have away from work and open the "Industrial R&D Academy" to support those wishing to come back to work.     * Short version date2015-07-13

72 percent of the businesses say that joining the economic delegation helps

The Ministry of Trade, Industry and Energy (MOTIE) announced on July 13 that according to its survey conducted on a total of 177 SME's and 31 economic organizations that have joined an economic delegation to assess the level of satisfaction and effects of FTA enjoyed by the delegation members, 72 percent of the SME's answered that joining an economic delegation as part of summit diplomacy have helped their business.     As for details, 58.7 percent of them answered that the experience date2015-07-13