S. Korea forecast to post single-digit export growth in 2009

SEOUL, Nov. 20 (Yonhap) -- South Korea's export growth is likely to slow to
single digits next year as fears of a prolonged global recession sap demand for
the nation's cars, semiconductors and ships, a survey showed Thursday.
The survey of 10 major overseas offices of the state-run Korea Trade and
Investment Promotion Agency, conducted by Yonhap News Agency, found the nation's
major export destinations have grown markedly pessimistic as the U.S.-sparked
financial crisis is rippling through the rest of the world.
The forecast of a single-digit growth is far below the government's target to
increase exports by 15 percent to US$500 billion next year.
The survey showed that exports to the United States and China, the top two
markets for South Korean goods, will probably contract next year, while overseas
shipments to the Middle East and South America are expected to grow by a range of
five to 30 percent each.
Exports to Germany, Britain and Russia are likely to fall about 10 percent next
year, but those to India, Saudi Arabia and Mexico could post double-digit growth
figures, according to the survey.
South Korea relies heavily on exports to prop up its economy.
Exports, however, are sharply losing steam as the world's advanced economies are
expected to contract next year for the first time since World War II.
In the first 17 days of November, exports fell some 20 percent from the same
period last year, according to the Ministry of Knowledge Economy.
On Wednesday, the Ministry of Strategy and Finance expected South Korea to post a
trade deficit of some $5.6 billion next year, the first time in 12 years the
country will have posted a trade deficit for two consecutive years.
(END)