The shortfall widened by $1 billion from the previous six months and was the second-largest half-year deficit in data going back to 2010, behind only the $7 billion deficit recorded in the second half of that year, according to the Bank of Korea (BOK).
Knowledge-services exports totaled $20.36 billion in the January-June period, while imports reached $26.8 billion.
Knowledge services cover cross-border transactions involving intellectual property, information and communications, cultural and leisure services, and professional and business services.
Intellectual property usage fees accounted for most of the deterioration, with the deficit widening by $900 million from the second half of 2025 to $4.9 billion.
Copyright-related trade posted a $2.88 billion deficit, compared with a $2.02 billion shortfall in the previous six months.
The deficit in computer and mobile software widened by $530 million to $2.84 billion as the use of overseas software and online services increased, the BOK said.
Multimedia copyrights swung to a $40 million deficit from a $290 million surplus as copyright exports by information and communications companies declined and payments for overseas copyrights increased.
Cultural and leisure services posted a $720 million surplus, up from $530 million in the previous half.
Multimedia production services recorded a $380 million surplus as music and video exports increased, while performance and exhibition-related services posted a $330 million surplus, helped by the music industry.
Information and communications services remained in surplus at $2.42 billion, although the figure fell by $450 million from the previous six months.
The BOK attributed the decline to a high comparison base following the previous half's record surplus and the deferral of some receipts for pre-installed applications to the second half of this year.
Professional and business services posted a $4.67 billion deficit, narrowing by $170 million from the previous half.
By industry, manufacturing recorded a $2.23 billion deficit, while the information and communications industry posted a $900 million surplus.
Regionally, South Korea recorded a $2.62 billion surplus with Asia, while posting deficits of $3.32 billion with North America and $2.25 billion with Europe.
A separate classification covering the information and communications technology industry showed an $860 million knowledge-services surplus in the first half.
Within that category, game software development and production recorded a $1.91 billion surplus.
AJP Takeaways
- South Korea's knowledge-services trade deficit widened to $6.44 billion in the first half, the largest since the second half of 2010 and the second-largest half-year shortfall in data going back to 2010.
- Intellectual property usage fees drove most of the deterioration, with the deficit widening by $900 million to $4.9 billion, including a $2.84 billion shortfall in computer and mobile software.
- Cultural and leisure services posted a $720 million surplus, while game software development and production recorded a $1.91 billion surplus under a separate ICT classification.
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