Sourced fact
The News
South Korea recorded its highest monthly export level in September, with a year-on-year increase of 83.5%, reaching $120.9 billion, according to Korea Customs Service data. Semiconductor exports accounted for nearly half of the total value, amounting to $60.3 billion, a rise of over 260% compared to the previous year. South Korea's Minister of Trade, Industry, and Energy, Kim Jong-kwan, expressed pride in these achievements, highlighting the efforts of South Korean entrepreneurs.
In the first nine months of the year, South Korea's export value reached $814.5 billion, surpassing the record set in 2025. The country achieved a trade surplus of $49.85 billion during this period. However, Kim expressed concern about future challenges, such as the intensification of global protectionism and increasing tensions in the Middle East.
South Korea's success in the semiconductor industry is attributed to the strength of its industrial sector, with SK Hynix and Samsung dominating the global market for high-speed memory and dynamic random access memory (DRAM). According to Counterpoint Research, the two companies control around 80% of the high-speed memory market and 60% of the DRAM market. As a result, the country has seen robust economic growth in recent months, with real economic growth in the second quarter of the year reaching 26.4% year-over-year, the highest level in five decades.
The South Korean Ministry of Economy and Finance expects real growth of 3% in 2026, the strongest performance since 2017, excluding years affected by the COVID-19 pandemic. Additionally, increased demand for semiconductors used in artificial intelligence (AI) technologies has driven South Korean stock markets to new heights, with the Kospi index rising by nearly 60% this year.
Analysis & context
Analysis & Context
Analytically, South Korea's semiconductor sector is a key driver of the economy, with Samsung Electronics and SK Hynix controlling nearly 80% of the high-speed memory market and 60% of the DRAM market, according to Counterpoint Research. This year, South Korea has experienced strong economic growth due to a global shortage of semiconductors used in AI. The International Monetary Fund also forecasts a real GDP growth of 3% for South Korea in 2026, the strongest performance since 2017, excluding years impacted by the COVID-19 pandemic. Furthermore, leadership in AI has contributed to the performance of South Korea's stock market, with the Kospi index rising by 60% this year.
