Die & mold exports in 2020 up 1.7% year-on-year to USD 2.88 billion

“Export growth mainly observed in North America … Sluggish performance in other major countries”

[Export and Import of Die & Mold Products in 2020 vs. 2019]

Exports did “relatively well” amid the global COVID-19 pandemic … Limited export growth, Decline in major countries

Despite the global COVID-19 pandemic, domestic die & mold exports in 2020 did relatively well by recording slight growth of 1.7% compared to the previous year.

 According to the Korea Die and Mold Industry Cooperative (KODMIC)’s analysis of die & mold exports and imports in 2020 based on the HS Code, which is an international standard used for industry classification, exports rose 1.7% year-on-year to record USD 2,884.6 million. Decline in exports appear to have been cushioned by rising demand for home appliances, computers, and smartphones due to the increase in untact activities while staying at home amid the corona virus. In particular, the COVID-19 premium and the “pent-up” effect (build-up of demand for products and services) in certain industries, such as clean home appliances, in the second half of the year drove up die & mold exports.

  However, export growth in 2020 was attributable to the sharp export growth in specific countries like the US and Mexico. In contrast, traditional die & mold exporting countries, such as Japan, China, and India, saw a stark downtrend in exports, especially in overseas markets. Furthermore, die & mold imports also dropped 10.3% year-on-year to record USD 182.32 million, which is indicative of the seriousness of the domestic economic recession. Against this backdrop, the overriding opinion is that recovery to business as usual is way down the road.

 [Die & Mold Exports and Imports per Country]

Sharp export growth in US and Mexico … Exports in Japan, China, and India all dipped by more than 20%

In examining the die & mold exports and imports per country in 2020, countries that did relatively well by recording a slight rise by 1.7% despite the global corona virus pandemic were the US and Mexico, which posted growth of 52% and 43%, respectively.  In the case of the US, die & mold exports substantially increased upon the sharp growth in demand for clean home appliances, such as air purifiers, which is attributable to not only the outbreak of the global pandemic but also the largest wildfires in western parts of the US. Also, thanks to the United States-Mexico-Canada Agreement (USMCA), a cross-border trade agreement, taking effect in 2020, this contributed to heightening the status of Mexico as a global production and export base, thereby driving the growth of die & mold exports. Meanwhile, countries that are hit by the corona virus saw a considerable drop in exports of roughly 20%, such as Japan (△22%), India (△23%), and China (△20%). Of note, these countries had to shutdown factories due to the global pandemic, and the stronger global trade protectionism due to the US-China trade war dealt a blow to the mining and manufacturing industries.

[Die & Mold Exports and Imports per Item]

Plastic and press die & mold exports slightly up … Drop in imports of all product items

[Die & Mold Exports and Imports per Item]

Plastic and press die & mold exports slightly up … Drop in imports of all product items