Exports to improve, backed by ship, chip shipments in Q3

South Korea's exports are expected to improve in the third quarter, backed by positive conditions for shipbuilding and semiconductor companies, a trade body said Wednesday. The Korea International Trade Association (KITA) said its quarterly Export Business Survey Index came to 108.4 for the July-September period next year, recorded above 100 for the second straight quarter. A reading below 100 means pessimists outnumber optimists, while a reading above the benchmark means the opposite. The survey was conducted on 1,014 exporting companies. KITA said it anticipates improved export conditions for high-value ships, such as liquefied natural gas and ammonia carriers. It also foresees a growth in chip exports thanks to a boom in the global artificial intelligence industry. Additionally, exports of steel are expected to show a strong recovery compared with the previous quarter. On the contrary, geopolitical tensions in the Middle East are expected to worsen the export conditions for petroleum products due to d isruptions in the crude oil supply, KITA said. Rising raw material prices and increased logistics costs were cited as the leading negative business factors for the surveyed firms. Source: Yonhap News Agency