South Korea's semiconductor boom fuels record surplus and spurs rate‑hike signal

Samsung Electronics reported an operating profit of 89.4 trillion won (about €51.7 billion) on soaring AI‑chip demand, while its stock fell 6.9 % on the Seoul exchange.

South Korea’s current‑account balance reached a historic $386.1 million surplus in May, the highest monthly total on record, driven by a 70.9 % jump in exports to $102.2 billion. Semiconductor shipments, especially AI‑related chips, surged, with exports up 199.5 % year‑on‑year.

The Bank of Korea, noting that growth outstrips its target and inflation remains above the goal, signalled a policy shift by planning to lift the base rate from 2.50 % to 2.75 % at its July 16 meeting, ending an eight‑meeting pause.