Kotra head anticipates record exports this year
President Kwon Pyung-oh of the Korea Trade-Investment Promotion Agency (Kotra)
expressed confidence on Thursday that Korea’s total exports will surpass the $600 billion
threshold for the first time this year. Kotra held a press event to share its outlook on
exports for the year’s second half.
The trade agency expects the year-on-year increase rate of exports between June and
December to be slower than the 6.3 percent rate in the year’s first half. Nonetheless,
it gave a positive annual outlook that the goal of $600 billion is likely to be achieved
thanks to a thriving IT market and a hike in oil prices. Korea’s exports between January
and August totaled $339.8 billion, a 6.6 percent increase year on year and a record for
the period.
“To reach $600 billion in annual exports this year, we need to export one percent more
year on year in the remaining four months - I would say that’s achievable,” said Kwon
during the press event held in central Seoul. Last year, the amount of exports between
August and December summed $198.7 billion with the total amount for the year at
$573.7 billion. “The agency receives [quarterly] outlooks from foreign buyers and
the results for the third quarter are quite positive,” he added.
“Figures for the fourth quarter are still being compiled, but internal reports from foreign
offices so far look pretty good.” Kwon expressed concern that the real difficulty in the
global export market might start next year. “There are so many factors that increase
uncertainty in the global trade environment next year,” he said. “The biggest variable
is the trade war between United States and China and how their relationship will affect
the trade environment for other countries. If this goes in the direction of slowing down
global trade, it will affect us and possibly expand trade protectionism to other countries
as well.” A former ambassador and chief of the trade promotion division at the
Ministry of Trade, Industry and Energy, Kwon was appointed as Kotra’s head in April.
At his inauguration event, he promised to create more jobs.