South Korea’s trade data
The results highlight how South Korea continues to benefit disproportionately from the global build-out of artificial intelligence data centers. Home to memory-chip giants Samsung Electronics and SK Hynix, the Asian economy outperformed the median forecast of a 50.8% rise tracked by the Wall Street Journal. Exports surpassed $87 billion for the first time in history, accelerating from April’s 48% gain.
Chip shipments drove the overall expansion, hitting $37.16 billion in May. This figure represents nearly a threefold increase from May 2025. The semiconductor sector has now sustained monthly exports above the $30 billion threshold for three straight months, a milestone it first crossed in March, according to the preliminary data from South Korea’s trade ministry.
This growth trajectory persists despite persistent geopolitical headwinds, primarily the ongoing war in Iran. The conflict has driven up global fuel prices and increased the cost of key inputs required for high-tech production. Yet, the overwhelming demand for AI infrastructure has kept semiconductor factories operating at maximum capacity.
The technology boom masked contraction in other traditional industries. Exports of vehicles fell 5.9% and steel shipments declined 2.1%, weighed down by higher raw-material costs, supply constraints, and logistics challenges linked to the Middle East conflict. Computer exports nearly quadrupled over the same period.
Export destinations showed stark contrasts. Shipments to the United States rose 59.1%, while those bound for China jumped 80.9%. Conversely, trade volumes with the Middle East fell 7.7% year-over-year, reflecting the direct impact of the regional crisis.
Imports expanded 20.8% to $60.80 billion in May, following the previous month’s revised level. The overall trade surplus reached $26.95 billion, widening from the $23.76 billion recorded in April.
Analysts expect South Korea’s chip-led export growth to maintain its momentum through the remainder of the year. Market observers note that AI-driven demand is holding firm against the mounting cost pressures, positioning the country’s export engine to continue firing at record levels.