Export Performance of Korean Industries During the 2008-09 Global Crisis

A remarkable feature of the 2008-09 financial crisis was that it led to an exceptionally rapid and large contraction in world trade. For example, nominal world trade fell by 30% in just one year ending in the first quarter of 2009.1) The trade collapse was also unparalleled in its globally-synchronized nature; trade contracted in almost all OECD countries, with half the economies experiencing declining more than 20%. Korea was no exception to this trend. The growth rate of Korean total exports(in nominal terms) began to decline in the third quarter of 2008 until it bottomed at -25% in the first quarter of 2009. It then rebounded rapidly, peaking at 36% in the first quarter of 2010.The purpose of this article is to examine the export performance of Korea at the industry-level, and try to explain inter-industry differences