South Korea's exports are projected to surpass $700 billion in 2025, reaching a historic high, according to government data released on Sunday. However, exports excluding semiconductors are expected to decline year-on-year.

Statistics from the Ministry of Trade, Industry and Energy show that from January to November, South Korea's total exports reached $640.2 billion, up 2.9% year-on-year, marking the highest level for the period on record. The previous record was $628.7 billion in 2022.

The government forecasts that annual exports will exceed $700 billion for the first time this year.

Despite the semiconductor industry benefiting from a "supercycle," exports excluding chips are expected to contract due to global trade uncertainties and slower growth in sectors such as steel, petrochemicals, and secondary batteries.

From January to November, exports excluding semiconductors totaled $487.6 billion, down 1.5% year-on-year.

While exports of automobiles, ships, biopharmaceuticals, and computers grew by 2%, 28.6%, 7%, and 0.4%, respectively, all other sectors saw declines. Machinery exports fell 8.9%, petroleum products dropped 11.1%, petrochemicals declined 11.7%, and steel exports decreased 8.8%. Auto parts, displays, home appliances, and secondary batteries also contracted by 6.3%, 10.3%, 9.4%, and 11.8%, respectively.

In November, semiconductors accounted for 28.3% of South Korea's total exports, the highest share this year, raising concerns over the country's heavy reliance on the chip sector. Between 2002 and 2010, semiconductors made up only about 10% of total exports.