Ministry of Trade, Industry and Energy

Trade Figures for March

The Ministry of Knowledge Economy has released its trade figures for the month of March. The trade surplus totaled $3.1 billion, up from $2.46 billion in February. Despite unfavorable overseas conditions including the political turmoil in Libya and the earthquake in Japan, exports rose 30.3 percent year on year, reaching an all-time high of $48.6 billion. Exports for the first quarter, which ended in March, set a new record with $131.8 billion. (The previous record was $128.7 billion for the fourth quarter of 2010.) The average value of exports per day climbed 30.3 percent to record $2.03 billion. With outbound shipments of petroleum products and ships surging 87.8 percent and 70.1 percent, respectively, most of Korea’s key exports displayed double-digit growth. Exports to key trading partners increased for the first 20 days of March. Notably, exports to Oceania jumped 116 percent from 2010 levels. Outbound shipments of petroleum products to China and Japan shot up 72 percent and 154.6 percent, respectively, while exports of petrochemicals to the United States surged 139.1 percent. Exports of ships to the European Union and ASEAN countries were down. China accounted for 25.8 percent of all exports, making it Korea’s No. 1 export destination for the month. Meanwhile, imports gained 27.9 percent to record $45.5 billion. The average value of imports per day climbed 27.9 percent from a year ago to reach $1.9 billion. Higher energy prices drove up inbound shipments of raw materials, which posted a 31.7 percent increase. While imports of capital goods gained 5.4 percent, the corresponding figure for consumer goods was 31.3 percent.     * Released by the Export and Import Division   date2011-04-01

Korea Steps Up Energy Partnerships With Africa

Deputy Minister for Energy and Resources Kim Junggwan traveled to Angola and Ghana last week to reinforce Korea’s economic and energy ties with both countries. In January, government officials from the two African countries had visited Korea separately to discuss bilateral partnerships, and the Deputy Minister’s visit was a follow-up to those meetings. At a joint economic forum in Angola, Deputy Minister Kim praised the African country for its rapid economic development and its political stability. The forum gave Angolan delegates a chance to explain the infrastructure projects the country is planning; these include the development of oil fields and the establishment of a refinery. Angolans have rolled up their sleeves to modernize the country through the establishment of infrastructure; to complete this task, they will require technology and skilled personnel. The Deputy Minister emphasized that Korea is actively spearheading a number of training initiatives in order to share its advanced technology with developing countries. Such activities could form the basis for a close cooperative relationship between the two countries, he added. In Ghana the Korean delegates learned about the country’s national growth strategy, with particular focus on the establishment of social and energy infrastructure. Deputy Minister Kim met with Amarquaye Armar, Special Advisor to the President of Ghana on Energy Sector Reform, Restructuring and Privatization, to discuss possible joint projects involving the construction of a refinery and a gas pipeline in Ghana. The two sides also signed a memorandum of understanding on energy cooperation, a long-awaited move that followed several months of negotiations.   * Released by the Resources Development Policy Division   date2011-03-31

Minister Meets With Chinese Investors

Minister of Knowledge Economy Choi Joong-Kyung joined Chinese investors on March 22 to celebrate the launch of a “China Club.” With assistance from the Ministry of Knowledge Economy, this new club will help companies from both countries to share information and work together to address any obstacles to business activities. Pointing to China’s emergence as a major player in Korea’s foreign investment market, Minister Choi expressed enthusiasm about the exciting prospects for bilateral investment. Inbound FDI from China displayed an impressive year-on-year increase of 160 percent in 2010. With more Chinese businesses looking to invest in Korea, in May the Ministry of Knowledge Economy set up the “China Desk,” which is dedicated to offering potential Chinese investors up-to-date information and matching them with suitable projects. The China Desk will assist companies in building active business networks within the China Club. The China Desk currently has branches in Seoul and Shanghai; later this year the Ministry plans to set up new branches in Beijing and Guangzhou. An investment roadshow in June will address areas of special interest to Chinese investors such as renewable energy, regional development and cultural content. * Released by the Foreign Investment Promotion Division date2011-03-28

Korea, Europe Mark Second EUREKA Day

Korea, Europe Mark Second EUREKA Day Nearly 600 businesspeople and R&D specialists convened in Seoul for the second EUREKA Day—a collaborative event between Korea and its European partners to promote technology development and open innovation. EUREKA is a pan-European network that promotes market-oriented industrial research and development, and in 2009 Korea became the first Asian country to gain Associate Country status. Last year, Korea proclaimed every third Wednesday in March as date2011-03-23

Korea, Poland Forge Nuclear Partnership

Vice Minister for Trade and Energy Park Young June recently traveled to Warsaw to discuss a potential nuclear partnership with Polish Commissioner for Nuclear Energy Hanna Trojanowska. The Korean delegation also included representatives of Korean energy businesses. Poland is looking to nuclear energy as a practical solution to diversify its energy sources and address climate change. Vice Minister Park noted that, in the face of higher oil prices and worsening environmental challenges, having a partner with vast expertise and knowledge of the nuclear industry would be a wonderful asset. On the same day, a business forum focused on possible joint projects involving renewable energy and the establishment of energy infrastructure in Poland. As a result of the free trade agreement that Korea and the European Union signed in October, Vice Minister Park emphasized that the two countries would enjoy many exciting opportunities to strengthen the bilateral relationship. As part of his weeklong trip to Eastern Europe, the Vice Minister also visited Romania and Bulgaria to forge stronger industrial and energy ties. * Released by the Europe and Americas Division   date2011-03-21

Retail Sales Figures for February 2011

The Ministry of Knowledge Economy has released its retail sales figures for the month of February. Since the Lunar New Year holiday fell earlier in the month this year, spending on food at both the nation’s three major discount chains and its three major department store chains dropped 14.5 percent and 38.7 percent, respectively, from the same period in 2010. In 2011, the Lunar New Year holiday fell in the first week of February and largely affected January sales figures. Sales at the three major discount chains fell 10.9 percent from a year ago—this was mostly due to lower spending on food and household goods, which accounted for 53.6 percent and 18 percent of all sales, respectively. Sales were down across a wide spectrum of categories: household appliances and cultural goods (-5.9 percent), apparel (-12.3 percent), household goods (-12.2 percent), general goods (-6.3 percent) and food (-14.5 percent). Sporting items were an exception (+5.9 percent). Sales at the nation’s three major department store chains posted a 5.2 percent increase in sales, with spending up in most categories. General goods, women’s suits, women’s casual wear, men’s clothing, children’s goods and sporting items, household goods and luxury goods gained 10.5 percent, 14.4 percent, 11.3 percent, 6.1 percent, 14.1 percent, 25 percent and 29.7 percent, respectively. Food sales recorded a 30.8 percent decrease in a notable exception to this trend. * Released by the Distribution and Logistics Division   date2011-03-17

Higher Oil Prices Boost Sales of Small and Hybrid Cars

Higher Oil Prices Boost Sales of Small and Hybrid Cars The Ministry of Knowledge Economy has released its car sales figures for February. Despite a shorter working month, vehicle sales in the domestic market totaled 114,465, the highest number in nine years. Of the total, 107,695 vehicles were domestic cars, which saw a 1.1 percent year-on-year increase in sales; meanwhile, imported cars saw a 5.2 percent increase with 6,770 vehicles sold. With the recent surge in oil prices, sales of fuel-effi date2011-03-15

IT Trade Figures for February

IT Trade Figures for February The Ministry of Knowledge Economy has released its IT trade figures for February. The national trade balance in the information technology sector totaled $5.33 billion. Despite adverse overseas conditions and a shorter working month, IT exports increased for the 17th consecutive month, having climbed 4.8 percent year on year to reach $11.18 billion.   Most of Korea’s key export items displayed positive growth. With shipments to China and Japan growing 9. date2011-03-09