This year, South Korea's exports to India continue to rise sharply, on track to meet the bilateral trade target of $50 billion by 2030.
According to the Korea Trade-Investment Promotion Agency (KOTRA), as of August, the cumulative export amount to India reached $16.8 billion, a 30.8% increase compared to the same period last year. During the same period, imports rose by 16.2% to $5.03 billion, pushing the total trade volume between the two countries beyond $21.8 billion.
Following President Lee Jae-myung's state visit to India in April, the atmosphere for economic cooperation has improved, leading to an expanded growth in exports. In August alone, exports amounted to $2.34 billion, marking a 47.3% increase from the same month last year, achieving the highest performance for August on record.
This growth is attributed to South Korean materials, parts, and equipment (known as 소부장) companies establishing themselves in local supply chains, aligning with India's 'Make in India' policy and infrastructure expansion. Key industries driving this growth include semiconductors (+177.5%), petrochemicals (+31.4%), and general machinery (+16.5%). Additionally, exports of Korean consumer goods, including noodles (+54.7%) and beauty products (+19.2%), have also shown significant increases.
Building on this success, KOTRA plans to support negotiations for improvements to the South Korea-India Comprehensive Economic Partnership Agreement (CEPA) and focus on diversifying exports and market entry strategies.
In September, KOTRA will host a 'Korea-India Semiconductor Partnership Day' in New Delhi to facilitate business opportunities with local companies such as Tata and Micron. The agency also aims to strengthen its consumer goods market strategy through promotional events with India's leading retailer, Reliance, and by operating a K-beauty pavilion in Mumbai in December.
Kang Kyung-seong, president of KOTRA, stated, "The rapid increase in exports to India demonstrates the emerging opportunities in the vast Indian market amid the global supply chain restructuring. We will maximize the follow-up results of our diplomatic efforts to pave the way for achieving the $50 billion trade goal by 2030."
* This article has been translated by AI.
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