Seoul: South Korea's export growth slowed in September, with shipments to the United States showing minimal increase, potentially reinforcing market speculation of an upcoming monetary policy adjustment. According to the customs service, exports rose by 7.5 percent year-on-year in September, a deceleration from the 11.2 percent growth recorded in August. This figure surpassed analysts' expectations of a 6.5 percent rise.
The slower growth was largely attributed to reduced shipments to the U.S., which increased by only 3.4 percent in September compared to an 11 percent rise the previous month. Meanwhile, imports grew by 2.2 percent, falling short of the 3.0 percent rise forecast by analysts.
This data comes as market expectations build for the Bank of Korea to lower its policy interest rates, currently at 3.50 percent, during its meeting next Friday. Concerns over economic growth appear to be outweighing inflationary pressures, increasing the likelihood of a rate cut.
Additionally, the country's trade surplus expanded to $6.66 billion, up from 3.77 billion dollars in August, despite fewer working days in September due to the extended Chuseok holiday.
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