Previous Media Release on Foreign Trade Appeared on November 16, 2017

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Previous Media Release on Foreign Trade appeared on November 16, 2017

Jerusalem,

December 19, 2017

374/2017

Israel’s Foreign Trade in Goods, by Country -November2017

With a Focus on Trade in Goods between Israel and South Korea

Trend data in September - November 2017 point to:

• A 14.9% increase in imports of goods from the EU countries.
• A decline in trade in goods with the USA and the Asian countries.

Trade with South Korea

• The trade deficit between Israel and South Korea decreased from $962.3 million in 2012 to $736.2 million in 2016.

This Media Release includes a review of trade in goods between Israel andSouth Korea. The purpose of this review is to present to the public detailed data of trade in goods between Israel and one of the partner countries.

Tables

In November 2017, imports of goods (gross, excluding diamonds) were NIS18.1billion. 44% were imports from the EU countries, 23% from the Asian countries, 11% from the USA and 22% from the"Other Countries".

Exports of goods (gross, excluding diamonds) totaled NIS13.7 billion and the trade deficit of goods (excluding diamonds) totaled NIS 4.3 billion. 34% of the exports were to the EU countries, 27% to the USA, 17% to the Asian countries and 22% to the "Other Countries"[1].

Trade balance January - November 2017

The trade deficit of goods (excl. diamonds) with the EU countries was NIS 34.0 billion in January – November2017 compared with NIS 42.1 billion in January - November 2016.

The trade deficit of goods (excl. diamonds) with the Asian countries totaled NIS 25.1 billion in January – November 2017 compared with NIS 18.8 billion in January - November 2016.

The trade deficit of goods (excl. diamonds) with the "Other Countries" totaled NIS 8.1 billion in January – November 2017 compared with NIS 1.5 billion in January - November 2016.

In contrast, there was a trade surplus of goods (excl. diamonds) with the USAof NIS 13.5 billion in January – November 2017, a 0.3% decrease compared with the same period in 2016.

Main Trading Country Groups NIS million / Import January - November 2017 / Import January - November 2016 / Export January - November 2017 / Export January - November 2016 / Trade Balance
January - November 2017 / Trade Balance
January - November 2016
Total (gross, excl.diamonds) / 204,110.1 / 204,551.4 / 150,377.0 / 155,637.4 / -53,733.1 / -48,914.0
European Union / 85,866.4 / 88,218.8 / 51,866.6 / 46,149.9 / -33,999.8 / -42,068.9
USA / 24,097.1 / 26,630.2 / 37,550.3 / 40,127.3 / 13,453.2 / 13,497.1
Asia / 52,307.0 / 52,631.6 / 27,229.8 / 33,782.3 / -25,077.2 / -18,849.3
Other Countries / 41,839.6 / 37,070.8 / 33,730.3 / 35,577.9 / -8,109.3 / -1,492.9

Imports of goods September - November 2017

The trend data calculated by the Central Bureau of Statistics show that imports of goods (excluding ships, aircrafts, diamonds and fuels) increased by 0.6% at an annual rate in September - November2017, followingadecrease of 1.6% in June - August 2017.

Trend data indicate that imports (excluding diamonds) from the EU countriesincreased by 14.9%, at an annual rate, in September - November 2017, following an increase of 17.2% in June - August 2017. Imports (excluding diamonds) from Slovakia, Sweden, Portugal and Austria increased significantly over the past eleven months compared with the same period in 2016.

According to trend data, imports (excluding diamonds) from the USAdecreased by 0.6% at an annual rate in September - November 2017, following a decrease of 7.7% inJune - August 2017.

Trend data indicate that imports (excluding diamonds) from the Asian Countriesdecreased in the last three months by 5.9% at an annual rate, following a decrease of 8.4% in June - August 2017. Imports (excluding diamonds) from Azerbaijan, Japan and Jordandecreased significantly over the past elevenmonths compared with the same period in 2016.

Trend data indicate that imports (excluding diamonds) from the "Other Countries" increased by 12.1% at an annual rate in the last three months, following anincrease of 0.8% in June - August 2017. In January - November2017 imports (excluding diamonds) from Russian Federation, Switzerland and South Africa increased significantly compared with the same period in 2016.

The last points are subject to substantial revisions

Exports of goodsSeptember – November2017

The trend data show that exports of goods (excluding ships, aircrafts and diamonds) decreased by 12.0% at an annual rate in September – November 2017, following a decrease of 12.4% in June - August 2017.

The last points are subject to substantial revisions

According to trend data, exports (excluding diamonds) to the EU countriesincreased by 8.9%, at an annual rate, in September – November 2017, following anincrease of 7.7% in June - August 2017. Exports (excluding diamonds) to Greece, Sloveniaand United Kingdomincreased significantly over the past eleven months compared with the same period in 2016.

Trend data indicate that exports (excluding diamonds) to the USAdecreased by 17.1%, at an annual rate in September – November 2017, following a decrease of 15.3% in June - August 2017.

According to trend data, exports (excluding diamonds) to the Asian Countries decreased by 19.3% in the last three months, at an annual rate, following a decrease of 29.4% inJune - August 2017(-2.9% monthly average). Since the beginning of 2017 exports (excluding diamonds) to Vietnam, Malaysia and India decreased significantly compared with the same period in 2016.

According to trend data, exports (excluding diamonds) to the "Other Countries"decreased by 10.8%, at an annual rate, in September – November2017, following a decrease of 12.1% in June - August 2017. Since the beginning of the year exports (excluding diamonds) toMorocco, Chile and Switzerlanddecreased significantly compared with the same period in 2016.

Trade in goods between Israel andSouth Korea

• The trade deficit between Israel and South Korea decreased from $962.3 million in 2012 to $736.2 million in 2016.
• In 2016, 63% of total imports of goods from South Korea were imported by the ten largest importers from South Korea

Table B. Israel and South Korea- General data, 2016

[2]Israel
/ South Korea

Population / 8.6 million / 51.2million[3]
Territory in thousand sq. km / 22 / 100.3[4]
GDP in billion dollars / 318.7 / [5]1,411.2
GDP per capita in dollars / 37,305 / [6]27,538.8
Unemployment rate / 4.8% / %[7]3.7
Import of goods in billion dollars / 65.8 / [8]406.2
Export of goods in billion dollars / 60.6 / [9]495.4
Balance of trade in goods in billion dollars / -5.2 / 89.2

South Korea - Imports and Exports

Exports from South Koreato the rest of the world[10]

The exports of goods from South Korea in 2016 totaled $495.4 billion, adecrease of 5.9% compared with2015.

The main groups of exported goods were: electronic integrated circuitsand motor cars and other motor vehicles principally designed for the transport.

The main countries to which South Korea exported in 2016 were: China, USA and Hong Kong (Diagram 4).

Imports to South Koreafrom the rest of the world

The imports of goods to South Koreain 2016 totaled $406.2 billion, a6.9%decrease compared with2015.

The main groups of imported goods were:petroleum oils, crudeand electronic integrated circuits.

The main countries from which South Koreaimported in 2016 were:China, Japanand the USA(Diagram 5).

Trade in goods: Israel-South Korea

Israel's trade deficit withSouth Koreawas $736.2 million in 2016, compared with $962.3million in 2012.This decrease in the trade deficit was mostly caused by adecrease in Israeli imports fromSouth Korea from $1,663.0 million in 2012 to $1316.3 million in 2016. Israeli exports toSouth Koreaalso decreased in this period from $700.7 million to $580.1million (Diagram 6).

Exports from Israel to South Korea by Main Economic Activities

In Israeli exports to South Korea in 2016the main economic activities were: manufacture of computers, electronic and optical products ($271 million),manufacture of chemicals and chemical products ($69 million),manufacture of basic metals ($46 million) andmanufacture of machinery and equipment n.e.c. ($46 million).

The most significant decrease in Israeli exports to South Koreabetween 2012 and 2016 was in the economic activities:manufacture of basic metals which decreased by 51%,manufacture of machinery and equipment n.e.c.which decreased by 49% and manufacture of computers, electronic and optical products which decreased by 27%.

Imports from South Koreato Israel by Main Economic Activities

In Israeli imports from South Korea the main economic activities were: manufacture of motor vehicles, trailers and semi-trailers ($717 million),manufacture of computers, electronic and optical products($156 million), manufacture of chemicals and chemical products ($130 million) and manufacture of machinery and equipment n.e.c.($109 million).

The most significant decrease in Israeli imports from South Korea between 2012 and 2016 was in the economic activities:manufacture of other transport equipmentwhich decreased by 95%, manufacture of electrical equipment which decreased by 80% and manufacture of computers, electronic and optical products which decreased by 45%.

Exports and imports of goods from Israel to South Koreaby exporters and importers

Between the years 2012 to 2016, thenumber of exportersfrom IsraeltoSouth Koreaincreased by 4%.In 2016 there were 931 exporters that exported goods toSouth Korea compared with896 in 2012 (Table C).

Table C. Number of exporters to South Korea by the export value 2012-2016

Percent change 2016/2012 / 2016 / 2015 / 2014 / 2013 / 2012 / Annual export value in dollars
5% / 810 / 846 / 789 / 765 / 768 / 500,000-0
-15% / 39 / 34 / 49 / 53 / 46 / 1,000,000-500,001
-2% / 55 / 56 / 57 / 48 / 56 / 5,000,000-1,000,001
44% / 13 / 11 / 12 / 12 / 9 / 10,000,000-5,000,001
-18% / 14 / 12 / 16 / 13 / 17 / 10,000,001+
4% / 931 / 959 / 923 / 891 / 896 / Total exporters

Between the years 2012 to 2016, there was a6%decrease in the number of importersfrom South Korea to Israel. In 2016 there were 3,903 importers that imported goods from South Korea compared with4,161 in 2012(Table D).

Percent change 2016/2012 / 2016 / 2015 / 2014 / 2013 / 2012 / Annual import value in dollars
-6% / 3,705 / 3,955 / 3,915 / 3,780 / 3,947 / 500,000-0
0% / 85 / 78 / 70 / 78 / 85 / 1,000,000-500,001
-13% / 88 / 84 / 101 / 94 / 101 / 5,000,000-1,000,001
0% / 12 / 9 / 9 / 12 / 12 / 10,000,000-5,000,001
-19% / 13 / 12 / 13 / 14 / 16 / 10,000,001+
-6% / 3,903 / 4,138 / 4,108 / 3,978 / 4,161 / Total importers

Table D. Number of importers from South Korea by the import value 2012-2016In 2016, 44% of the total exports from Israel to South Koreawereexported by the ten largest exporters to South Koreacompared with53% in 2012.

In 2016, 63% of the total imports to Israel from South Koreawere imported by the ten largest importers from South Koreacompared with 67% in 2012(Diagram 9).

• The next Press Release on “Israel’s Foreign Trade by Country-December2017,will be released on January18, 2018.
• Related links and publications
• Definitions and Explanations

1

Israel's Foreign Trade in Goods, by Country – November 2017

Publication date: 19/12/2017

1 The above is based on temporary data regarding goods that cleared customs, not includingtrade between Israel and the Palestinian Authority. In addition, the data do not include imports and exports of services (e.g. software). Data on all exports and imports of goods and services are published as part of the Balance of Payments, every quarter. 2016 data are final, 2017 are provisional.

2 (retrieved on October 24, 2017).

3 on October 24, 2017).

4 on October 24, 2017).

5 on October 24, 2017).

[6] on October 24, 2017).

[7] on October 24, 2017).

8 on October 24, 2017).

9 on October 24, 2017).

[10] on October 24, 2017).