Import Prices Fall 4.4% in June, Ending Upward Trend Due to Lower Oil Prices

[Economy 365]

Import prices fell by 4.4% in June compared to the previous month, marking the largest decline in three years and six months.

The primary reason for this decrease is the drop in international oil prices.

As the average price of Dubai crude oil fell by approximately 23% from 103 dollars per barrel in May to 79 dollars in June, petroleum-related products led the decline in import prices, with crude oil import prices falling by 20.7% and naphtha by 25.5%.

However, export prices saw their 11-month upward trend come to a halt, as the decline in petroleum product prices offset the rise in semiconductor prices.

On the other hand, export volume remained strong.

Driven by a semiconductor boom, export volume in June increased by 29.8% compared to the same month last year, marking the largest increase in 16 years and 5 months.

The Bank of Korea expects that the decline in prices of raw materials and intermediate goods will, with a time lag, somewhat ease the burden on consumer prices.

*This article was produced using AI audio.
※ Please note: This article was translated by AI and may contain errors.