Q2 exports up 11.9% on-year, topping $30B for 5th consecutive quarter
Primary metals up 62%, chemicals up 29%; machinery and equipment down 19%
ASEAN, US exports expand but mid-sized firms' share of total exports slips to 13%
South Korea's mid-sized companies posted record exports of $35.75 billion in the second quarter of this year, driven by a near-78% surge in biohealth shipments and strong gains in primary metals and chemicals, even as machinery and equipment exports declined.
According to the "Second-Quarter 2026 Mid-Sized Enterprise Export Trends" report released Wednesday by the Korea Middle Market Enterprise Federation, mid-sized firms' exports reached $35.75 billion in the second quarter, up 11.9% from $31.95 billion in the same period last year. Compared with the previous quarter, exports rose 14.5%.
The result marks the highest quarterly performance since the government-approved export statistics for mid-sized enterprises began in the first quarter of 2022. The year-on-year growth rate was also the highest since the data series began. Mid-sized firms have now exceeded $30 billion in exports for five consecutive quarters, starting from the second quarter of last year.
Despite the record figure, mid-sized firms' share of total exports fell. Their share stood at 13.0% in the second quarter, down 5.2 percentage points from 18.2% in the same period last year and 1.1 percentage points below the 14.1% recorded in the first quarter of this year. The figures suggest that while mid-sized firms hit an all-time export high, overall exports grew at an even faster pace.
The number of mid-sized exporters also shrank. A total of 2,061 mid-sized companies reported export activity in the second quarter, down 40 from 2,101 in the same period last year, though up seven from 2,054 in the previous quarter. With fewer companies exporting but total shipments rising, the average export volume per company expanded.
Both manufacturing and non-manufacturing sectors posted growth. Manufacturing mid-sized firms exported $31.19 billion, up 10.9% from a year earlier. Non-manufacturing exports reached $4.56 billion, a gain of 18.9%. Within non-manufacturing, wholesale and retail exports rose 39.7% to $4.23 billion, while services exports climbed 53.3% to $210 million.
In manufacturing, primary metals led the gains. Primary metals exports jumped 62.2% year-on-year to $3.36 billion. Medical and precision instruments rose 29.6% to $1.04 billion, and chemical products climbed 29.3% to $3.63 billion.
Machinery and equipment exports fell 19.2% from a year earlier to $2.25 billion, and rubber and plastics exports declined 5.2% to $920 million. Some manufacturing sectors failed to recover even as overall export performance improved.
By product category, biohealth recorded the highest growth rate. Biohealth exports surged 77.9% year-on-year to $1.05 billion, topping all major product categories for the second consecutive quarter.
Petrochemical exports rose 24.2% to $2.2 billion, and home appliances gained 18.9% to $340 million. Computers climbed 18.4% to $60 million, and petroleum products increased 16.7% to $500 million. Semiconductor exports grew 10.8% year-on-year to $7.46 billion, the largest of any major product category.
By region, ASEAN and the United States led export growth. Exports to ASEAN rose 20.3% year-on-year to $9.02 billion, while shipments to the US increased about 15.9% to $5.82 billion from $5.02 billion in the same period last year.
Exports to Latin America grew 26.0% to $1.91 billion, and shipments to Oceania rose 29.2% to $630 million. Exports to India expanded 18.5% to $1.2 billion. Seven of the top 10 export destinations recorded year-on-year increases.
China was a notable exception, with exports slipping 0.4% to $6.37 billion. Exports to the Middle East fell 15.3% to $780 million, and shipments to the Commonwealth of Independent States dropped 20.8% to $410 million. While major emerging and advanced markets saw gains, declines persisted in China, the Middle East and some other regions.
Kim Hyun-cheol, standing vice chairman of the Korea Middle Market Enterprise Federation, said that according to the Korea Customs Service's September trade data, exports hit a record $120 billion that month, with forecasts suggesting annual exports of $1 trillion are within reach this year. "We will do our utmost to create an effective legal, regulatory and policy environment that strengthens the global competitiveness of mid-sized enterprises, based on close communication with the government and the National Assembly, so that the momentum of this record export performance can be sustained," Kim said.
hong@heraldcorp.com
