With the semiconductor market showing weakness, including a 34% decline in semiconductor exports in July, and the continued decrease in demand for information and communication devices, exports of ICT (Information and Communication Industry) in July also fell by 24%.

According to the ICT import and export trends for July 2023 released by the Ministry of Trade, Industry and Energy on the 16th, exports totaled $14.61 billion, a 24.3% decrease year-on-year, while imports totaled $11.42 billion, a 13.7% decrease year-on-year. The trade balance recorded a surplus of $3.19 billion.

This decline in performance was attributed to factors such as the continued weakness in semiconductor unit prices and the slow recovery of demand for ICT devices.

Looking at the breakdown by item, semiconductors amounted to $7.54 billion, down 33.7% from the same period last year. As unit prices continued to fall due to the sluggish semiconductor business, system semiconductors fell 25.9% year-on-year to $3.47 billion, and memory fell 41.7% year-on-year to $3.6 billion.

In particular, the decline continued due to weak unit prices of memory, a major export item, and the base effect of last July's $11.38 billion, which was the highest performance ever for a July.

Displays recorded $1.89 billion, down 5.4% from the same period last year. LCDs fell 15.2% year-on-year to $400 million due to the suspension of domestic production, while OLEDs recorded $1.25 billion, down 0.2% year-on-year due to the delayed recovery of demand in downstream industries.

Mobile phone exports totaled $720 million, down 19.6% from the same period last year. While exports of finished products and parts declined due to the delayed recovery in demand for devices, exports of finished products to the U.S. increased for two consecutive months due to a partial recovery in demand for premium products.

Computers and peripherals amounted to $870 million, a 28% decrease compared to the same period last year. Exports declined, centered on electronic devices and auxiliary storage devices for data centers and servers.

Telecommunications equipment exports totaled $200 million, down 21.1% from the same period last year. While exports increased in regions where telecommunications infrastructure is expanding, such as Vietnam and India, overall exports declined due to the global economic slowdown.

Looking at export performance by region, exports to China totaled $6.04 billion, a 27.7% decrease compared to the same period last year. While exports of computers and peripherals increased due to expanding demand for SSDs, exports of semiconductors, displays, and mobile phones declined.

Vietnam recorded $2.52 billion, down 18.6% from the same period last year. While display exports increased due to rising demand for components for smartphone production scheduled for release in the second half of the year, semiconductors and other items declined.

The U.S. fell 28.3% from the same period last year to $1.73 billion. Mobile phone exports increased due to partial expansion in demand for premium models, but semiconductors, computers, and peripherals decreased.

The European Union fell 24.9% year-on-year to $820 million. Semiconductors, mobile phones, computers, and peripherals declined.

Japan recorded $420 million, a 23.2% increase compared to the same period last year. Driven by growth in semiconductors, secondary batteries, and telecommunications equipment, it turned to growth for the first time in 10 months.

Regarding ICT imports, mobile phones increased by 28.2% year-on-year to $770 million, while semiconductors decreased by 22.8% year-on-year to $5.18 billion. Computers and peripherals decreased by 20.2% year-on-year to $1.2 billion, and displays decreased by 5.2% year-on-year to $440 million.

By region, imports from Vietnam increased by 15.5% year-on-year to $1.17 billion, imports from China decreased by 25.3% to $4.12 billion, imports from Taiwan decreased by 20.3% to $1.72 billion, imports from Japan decreased by 23.2% year-on-year to $950 million, and imports from the United States decreased by 15.3% year-on-year to $640 million.