Export growth rate to slow sharply next year

The Korea Trade-Investment Promotion Agency (KOTRA) predicted at a seminar Thursday that the nation¡¯s export growth rate would fall sharply to 12 to 13 percent next year, about half this year¡¯s rate, and that the value of exports would amount to only about $200 billion. This year's exports are expected to rise 21 to 23 percent from last year to about 174 to 178 billion won.

KOTRA officials attributed the forecast drop in the export growth to the economic downturn that has affected most of the world, other than Japan and some developing countries.

By region, exports to the United States, the nation's largest export market, were forecast to increase only 13.5 percent and total $43.7 billion. Among export items to the United States, computers, electronic parts and wireless communications equipment are expected to sell well while steel and textile products are likely to see lackluster results.

The corporation forecast that exports to the European Union would grow by as little as 9.76 percent, down sharply from this year's 19.5 percent, due to the weakening euro and reduced demand for imports.

Exports to Japan were predicted to post above average growth of 17.5 percent. Among Korea¡¯s major export items are semiconductors, computers and petrochemical products.

Cheong Yeong-Tae ebizwiz@donga.com