South Korea February exports rise 29 percent on chip demand

South Korea reported its ninth consecutive month of export growth in February, driven by a historic performance in semiconductor shipments. Total exports from the nation, often viewed as a leading indicator for global trade health, reached $67.45 billion, representing a 29.0% increase compared to the previous year. This figure significantly outperformed the 24.0% growth projected by economists in a Reuters poll. The trade balance for the month reached $15.51 billion, supported by import growth that was more modest than anticipated. Imports rose by 7.5% year-on-year, falling short of the 13.0% increase expected by analysts. The semiconductor sector remained the primary engine of growth, with exports surging 160.9% to set a new monthly record. Shipments in this category have exceeded $20 billion in value for three consecutive months. According to the trade ministry, this momentum is fueled by sustained investment in artificial intelligence and a significant rise in memory chip prices. Despite the robust trade figures, the outlook remains tempered by external factors. Ongoing uncertainties regarding potential trade tariffs from the United States continue to influence market expectations for the coming months.