Chile - South Korea Trade 2023 Q2: $1.36B Surplus

Key Market Takeaways: Chile - South Korea Trade

The bilateral trade relationship between Chile and South Korea shows strong export growth with volatile monthly swings in Q2 2023.

• $1.69B exports vs. $326.65M imports give Chile a $1.36B surplus, reinforcing its role as a net exporter to South Korea.
• Chile - South Korea trade statistics reveal a resource-for-tech exchange: raw materials (39.95% inorganic chemicals) for finished goods (40.92% vehicles).
• Highly complementary economies, with South Korea holding the high-value manufacturing edge while Chile supplies critical commodities.

This bilateral trade snapshot is based on verified customs data from the yTrade database.

Chile-South Korea Trade Trend in Q2 2023

Chile Export Performance: Shipments to South Korea

• Total Volume: $1.69B in Q2 2023.
• Growth Trend & Context:
  • YoY growth was mixed: +23.49% in April, +38.41% in May, but slowed to +8.85% in June.
  • No specific trade news to explain the volatility.
• Key Volatility: April saw a sharp MoM drop (-36.55%), followed by a rebound in May (+8.72%).

Chile Import Performance: Sourcing from South Korea

• Total Volume: $326.65M in Q2 2023.
• Growth Trend & Context:
  • YoY declines persisted: -42.48% (April), -39.82% (May), -24.18% (June).
• Key Volatility: April had the steepest MoM drop (-24.02%), while May posted a partial recovery (+14.59%).

Chile - South Korea Trade Balance & Market Dynamics

• Net Position: Chile recorded a trade surplus of $1.36B (Exports: $1.69B > Imports: $326.65M).
• Relationship Status: Chile maintains a strong net exporter role, with exports to South Korea exceeding imports by 5.2x.

Chile Import Trend from South Korea 2023 Q2 (Source: yTrade)**

Chile Export Trend to South Korea 2023 Q2 (Source: yTrade)**

Get Historical Chile South Korea Trade Records

Chile-South Korea Top Trading Products in Q2 2023

Chile Export Profile: What Does Chile Sell to South Korea

• Top Commodity: Rank #1 export is HS Code 28 (Inorganic chemicals, precious metal compounds, isotopes) with a 39.95% share.
• Demand Driver: South Korea uses these for industrial processing, likely in electronics or chemical manufacturing.
• Concentration: The top 3 exports (HS Codes 28, 26, 74) dominate 90.47% of total exports, indicating extreme concentration in raw materials.

Chile Import Profile: What Does Chile Buy from South Korea

• Top Commodity: Rank #1 import is HS Code 87 (Vehicles, not railway) with a 40.92% share.
• Dependency Nature: Critical technology dependency, as South Korea supplies high-value automotive and machinery (HS Codes 84, 85).

Chile - South Korea Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity. Chile exports raw materials (ores, chemicals) and imports finished goods (vehicles, machinery).
• Value Chain Position: South Korea holds the higher value-add position, supplying advanced manufactured goods, while Chile provides commodities.

Import Analysis by Product: South Korea to Chile (Source: yTrade)

Export Analysis by Product: Chile to South Korea (Source: yTrade)

Check Detailed Chile-South Korea Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

Chile’s trade surplus with South Korea is expected to hold steady in Q3 2023, driven by sustained demand for inorganic chemicals (HS 28) and ores (HS 26). However, the volatility in export growth—particularly the June slowdown—suggests potential supply-side constraints or fluctuating commodity prices. On the import side, South Korea’s declining shipments of vehicles (HS 87) may reflect weaker consumer demand in Chile, signaling a cautious outlook for high-value tech imports. Over the next year, Chile must diversify its export basket beyond raw materials to reduce reliance on cyclical commodity markets.

Strategic Moves

• Lock in Long-Term Contracts: Chilean exporters of inorganic chemicals should secure multi-year agreements with South Korean industrial buyers to stabilize revenue amid price swings.
• Diversify Export Offerings: Chile must invest in mid-stream processing (e.g., refining copper or lithium) to capture more value before export, reducing over-dependence on raw material sales.
• Monitor Automotive Demand: Importers of South Korean vehicles should assess domestic consumption trends and explore alternative suppliers (e.g., Japan or China) to mitigate supply chain risks.

Frequently Asked Questions

How did Chile - South Korea trade perform in 2023 Q2?

Chile's exports to South Korea totaled $1.69B in Q2 2023, with mixed YoY growth (+23.49% in April, +38.41% in May, +8.85% in June). Imports from South Korea fell to $326.65M, declining YoY across all months.

What are the top exports from Chile to South Korea?

Chile's top exports to South Korea are inorganic chemicals (HS Code 28, 39.95% share), ores (HS Code 26), and copper (HS Code 74), which dominate 90.47% of total exports.

What does Chile import from South Korea?

Chile primarily imports vehicles (HS Code 87, 40.92% share) and machinery (HS Codes 84, 85) from South Korea, reflecting a reliance on high-value manufactured goods.

What is the trade balance between Chile and South Korea?

Chile recorded a trade surplus of $1.36B in Q2 2023, with exports exceeding imports by 5.2x, maintaining its strong net exporter role.