In April, South Korea traded 364,900 TEUs of containers with eight other Asian economies, marking a 15% increase from 316,600 TEUs in the same month last year.
According to the Japan International Freight Forwarders Association Inc (JIFFA), this trade has shown year-on-year throughput growth for nine consecutive months since August 2023.
South Korea exported 176,400 TEUs, up 12%, and imported 188,500 TEUs, up 19%. Exports have been rising for eight straight months since September 2023, and imports have increased for nine consecutive months since August 2023.
Breaking down South Korea’s trade by partners, Vietnam accounted for 127,700 TEUs, up 26%, holding the largest share. Containers to and from Thailand, Indonesia, and Malaysia also saw double-digit growth, increasing by 22% to 55,400 TEUs, 22% to 48,000 TEUs, and 13% to 42,000 TEUs, respectively.
Conversely, trade with Taiwan decreased by 1% to 19,300 TEUs, and trade with Singapore also fell. Trade with Hong Kong plunged by 14% to 18,000 TEUs, marking a year-on-year decline for two years and seven months since October 2021.
In addition, freight rates from South Korea to Southeast Asia are surging. The KOBC Container Composite Index (KCCI), which tracks ex-Busan container freight rates, averaged 559 points since the beginning of the month, an 18% increase from an average of 473 points in April, according to Korea Ocean Business Corp. (KOBC). The average KCCI has grown for six consecutive months since December 2023 and has seen double-digit increases since January.
Meanwhile, the Southeast Asia Freight Index (SEAFI), a spot rate indicator for container exports from Shanghai to Southeast Asia released by the Shanghai Shipping Exchange (SSE), reached 2,260.97 points in Week 21, a 46% rise from 1,544 points in April. The SEAFI has averaged above 2,000 points since the beginning of the month. This is the second time the index has exceeded 2,000 points, following an average of 3,109 points in August 2022.
