South Korea Risks 'Taiwan Disease' as Chip Exports Reach 37.1% of Total
Updated
Updated · en.sedaily.com · May 27
South Korea Risks 'Taiwan Disease' as Chip Exports Reach 37.1% of Total
1 articles · Updated · en.sedaily.com · May 27
Summary
South Korea’s semiconductor share of exports nearly doubled to 37.1% in April from 20.1% a year earlier, raising concern that growth is becoming dangerously concentrated in one industry.
That concentration is already visible in the economy: first-quarter growth came in at 1.7%, but excluding semiconductors it was only about half that pace.
Taiwan offers the warning case. Its chip-led boom has pushed per-capita GNI to $40,585 and lifted stocks, yet left weak domestic demand, struggling traditional industries and widening income gaps.
Korea shows similar fault lines — fading legacy industries, a weak won and rising polarization — and a chip boom could even pull forward Bank of Korea rate hikes, increasing debt pressure on vulnerable households.