Abu Dhabi: South Korea's exports slipped in May for the first time in four months, dragged down by falling shipments to the United States and China, even as semiconductor exports surged to a record high for the month. According to Emirates News Agency, data released by the Ministry of Trade, Industry and Energy on June 1 revealed that exports totaled $57.27 billion in May, marking a 1.3% decrease from a year earlier. Imports also saw a decline, falling 5.3% to $50.33 billion. This marks the first year-on-year decline in monthly exports since January, following 15 consecutive months of export growth through December 2023. By destination, exports to the U.S. saw an 8.1% drop to $10 billion. This decrease came on the heels of a series of tariff hikes by the U.S. government, including 25% duties on steel and aluminum in March, cars in April, and auto parts in May, in addition to a 10% base tariff under the reciprocal tariff policy. Similarly, exports to China fell 8.4% to $10.4 billion. The impact of U.S. tari ffs was evident in car exports, which fell 4.4% to $6.2 billion. In contrast, semiconductor exports soared 21.2% to $13.8 billion, achieving the highest level ever recorded for May. Minister of Trade, Industry and Energy Ahn Duk-geun noted that the U.S. tariffs appear to be affecting the global economy and South Korea's exports, as evidenced by the decline in exports to the U.S. and China, the country's two largest markets. Another significant factor contributing to the decrease in outbound shipments was the sharp drop in international oil prices to the low $60 range in May. This price decline resulted in a more than 20 percent year-on-year decrease in exports of petroleum and petrochemical products.