[Anchor]
In April, amidst the impact of U.S. tariffs, South Korea’s current account has maintained a surplus for 24 consecutive months.
While the surplus has decreased, the impact of tariffs has not significantly affected export performance yet.
Let’s connect with our correspondent for more details.
[Reporter]
Yes, South Korea’s current account recorded its 24th consecutive surplus.
According to the Bank of Korea’s announcement today, the current account surplus in April was $5.7 billion.
However, it decreased by $3.44 billion from the previous month.
Although the surplus narrowed, it was the third largest on record for the same month.
The cumulative current account surplus by April this year was $24.96 billion, an expansion of $6.99 billion from a year ago.
The goods account, which holds the largest portion, recorded a surplus of $8.99 billion.
This was due to exports increasing by 1.9% compared to a year ago, while imports turned to a decline of 5.1%.
There were concerns that the U.S. administration’s tariff policies would severely reduce the surplus, but the actual impact on export performance in April was not significant as mutual tariffs were deferred.
Exports saw an increase, with semiconductors up by 16.9%, pharmaceuticals by 22.3%, and steel products by 8.1%.
However, automobile exports decreased by 4.1%, and exports to the major market, the U.S., fell by 6.8%, indicating some impact from tariff policies.
Imports saw a significant reduction in raw materials due to falling energy prices, including oil prices.
The primary reason for the reduced surplus this time was dividends paid to foreign investors.
With major corporate dividends concentrated seasonally, the primary income account shifted to a deficit of $190 million.
The service account recorded a deficit of $2.83 billion, mainly due to transportation and other business services, while the travel account’s deficit narrowed to $500 million, influenced by the peak season for foreign tourists in spring.
This has been your economic report.
#Tariffs #Exports #Automobile #BankOfKorea #Semiconductors #Imports #BalanceOfPayments #CurrentAccount #GoodsAccount
Inquiries and tips for Yonhap News TV: KakaoTalk/LINE jebo23