▪ The trade deficit continues with the largest trade deficit since 1996 being recorded in the first half of 2022.
▪ Imports grew significantly faster than exports due to global commodity price hikes.
▪ There is a concern about the wider gap in the growth of export and import price indices aggravating terms of trade, which in turn slows down consumption.
▪ Korea’s imports of intermediate goods account for the largest share of its total imports.
▪ The trade balance recently recorded a deficit as imports from China increased more than exports to China.
▪ The trade deficit structure is different from that of the 2008 Great Trade Collapse.
▪ There is a concern about a trade deficit becoming a long-lasting trend if the global economic downturn continues.
▪ Korea needs to minimize the negative impact of changes in external economic conditions on its economy.