Last year, the number of companies that made their first export approached 20,000, marking the highest level in the past five years.
The Korea Customs Service reported on August 3 that 19,746 companies classified as 'first-time exporters' had no export records in the previous three years, representing a 3.7% increase from the previous year. This is the largest number recorded in the last five years. The export amount from first-time exporters also rose by 13.2% from the previous year, reaching $6.9 billion, the highest since 2019.
First-time exporters accounted for 19.4% of the total 101,792 companies engaged in export activities last year. Among the 25,953 companies that newly recorded export performance after having no previous export records, 76.1% were first-time exporters. In terms of export value, they represented 89.7% of the total export amount from these new entrants.
By category, machinery and computers made up the largest share at 10.9%, followed by electrical products at 8.5%, cosmetics at 7.0%, plastics at 6.7%, and automobiles at 5.6%. On average, each first-time exporter exported 1.4 different items, with 72.2% of them exporting only one item. Furthermore, 98.4% of these companies exported fewer than ten items.
In terms of export value, precious metals led with 26.4%, followed by automobiles at 19.9%, electrical products at 7.8%, machinery and computers at 7.0%, and optical devices at 4.5%. The Customs Service noted that machinery and computers, cosmetics, and electrical products are primarily small-scale exports with relatively low average export values per company.
Regarding export scale, 15,885 companies, or 80%, had exports of less than $100,000. The average export amount for first-time exporters was $350,000, while those with exports under $100,000 averaged only $20,000.
In the under $100,000 category, machinery and computers, electrical products, and cosmetics were the most exported items. In the $100,000 to $10 million range, automobiles had a significant share. Companies exporting over $10 million primarily dealt in precious metals.
First-time exporters reached a total of 173 countries. By the number of companies, China accounted for 14.0%, followed by the United States at 10.9%, Japan at 7.5%, Vietnam at 6.4%, and the European Union at 5.3%. On average, each first-time exporter sold to 1.6 countries, with 15,929 companies, or 80.7%, exporting to only one country.
In terms of export value, Hong Kong was the largest market at 30.0%, followed by China at 17.8%, Kyrgyzstan at 7.8%, the United States at 5.9%, and Switzerland at 4.2%. Exports to Hong Kong were primarily in precious metals, electrical products, and optical devices, while China’s main exports included optical devices, copper, and ores.
Regionally, there was a notable concentration in the metropolitan area, with 70.4% of first-time exporters located in Seoul, Incheon, and Gyeonggi Province. The metropolitan area accounted for 72.9% of the total export value. Following this, the southeastern region represented 10.0%, the Daegu-Gyeongbuk region 7.3%, and the central region 6.9%.
* This article has been translated by AI.
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