December Export Volume Index Rises for 4th Consecutive Month... Last Year's Annual Export Volume Up 1.1%

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[Asia Economy Reporter Eunbyeol Kim] The export and import volume indices continued their upward trend for the fourth consecutive month.

According to the "December 2020 Trade Index and Terms of Trade (Dollar Basis)" released by the Bank of Korea on the 28th, the export volume index in December rose 9.3% compared to the same month last year, marking four consecutive months of increase. The export volume index showed increases of 13.4% in September, 0.1% in October, and 5.6% in November.

By item, computers, electronic and optical equipment (21.3%), electrical equipment (14.2%), and chemical products (13.9%) showed growth.

The export value index rose 9.6% year-on-year despite decreases in coal and petroleum products, machinery and equipment, due to increases in computers, electronic and optical equipment, and chemical products. The export value index has been rising for two consecutive months.

On an annual basis for 2020, the export volume index increased by 1.1% compared to the previous year, while the export value index decreased by 5.7%. The rise in the annual export volume index was largely influenced by computers, electronic and optical equipment (10.6%).

In December last year, the import volume index rose 10.0% year-on-year, centered on machinery and equipment (35.5%), chemical products (20.8%), and computers, electronic and optical equipment (19.1%). The import volume index also increased for four consecutive months.

The import value index rose 2.8%, marking a turnaround after nine months. Although coal and petroleum products and mining products decreased, increases in computers, electronic and optical equipment, and machinery and equipment had an impact.

On an annual basis last year, the import volume index rose 3.2% compared to the previous year, while the import value index fell 7.2%. This appears to be influenced by the decline in international oil prices due to reduced demand.

The net barter terms of trade index, which indicates the quantity of imports that can be purchased with the proceeds from exporting one unit of goods, rose 7.2% compared to December of the previous year, continuing its upward trend for nine consecutive months. This was because export prices rose 0.3% while import prices fell 6.5%.

The income terms of trade index in December rose 17.2% compared to the same month last year, marking seven consecutive months of increase. In 2020, the net barter and income terms of trade indices rose 3.8% and 4.9%, respectively, compared to the previous year.

This content was produced with the assistance of AI translation services.