1. Industrial Structure of Korean
Chong-Sup KIM
Seoul National University

2. Main Industries production and export shares: textile, clothing industries

3. Main Industries production and export shares: steel, machinery industries

4. Main Industries production and export shares: electro-domestic, automobile, and ship building industries

5. Main Industries production and export shares: semiconductors & telecommunication equipment, and computer industries

6. Main export products in the last 10 years
Production share1)
Export share
1990
1995
2000
  IT제품
  8.4
12.3
18.3
18.0
28.2
34.1
  (통신기기)
  1.6
  1.5
  3.9
  1.8
  5.1
  (컴퓨터)
  1.1
  3.3
  3.1
  3.5
  (반도체)
  3.6
  6.8
  7.1
  6.9
17.7
15.1
비IT제품
93.4
87.7
81.7
76.9
66.9
63.1
  (섬 유)
  7.0
  5.5
  4.0
  9.9
10.7
  7.9
  (의 류)
  3.8
  2.6
  2.9
  (석유제품)
  4.1
10.5
  1.0
  1.9
  5.4
  (철 강)
  9.5
  8.8
  8.2
  8.3
  8.0
  6.6
  (기 계)
  6.0
  7.2
  8.6
  (가 전)
  2.5
  (자동차)
  9.2
  9.7
  9.3
  7.3
  8.7
  (선 박)
  2.3
  4.3
  4.4
  4.8
  기  타2) -
  4.9
  2.8 계
100.0
1) In manufacture

7. Korea’s total export and its share in world market
Market share

8. World market share of Korea’s main export products
World market share (%)
rank
(2000)
1980
1990
2000
Manufacture
1.4
2.5
3.3 10
  (textile)
4.0
5.8
8.1 3
  (cloth)
7.3
  (steel)
2.2
3.4
4.7 8
  (chemical products)
0.5
0.8
2.4 12
  (office and telecom eq.)
2.0
4.8
5.5
  (semiconductors)1) -
7.7
  (automobile)
0.1
0.7
2.7 11
Total export
0.9
1.9
1) Production base

9. Strength and Weakness of the Korean Industry

10. Strength: quality labor Share of workers with more than high-school education among economically active population
Korea
(2001)
USA
(2000)
Japan
(1997)
Germany
(1999) UK
France
(1998)
China
24.9
(17.2)
31.1
( - )
30.9
(18.6)
23.8
(13.7)
24.7
(16.1)
23.7
3.8

11. Economically active population by age
15~24
Sub
total
(25~34)
(35~44)
(45~54)
55~64
65 이상
Korea
(2001)
9.5
74.1
(24.2)
(29.4)
(20.5)
11.1
5.3
100
Japan
(2000)
11.2
65.3
(22.3)
(19.2)
(23.9)
16.1
7.4
USA
71.0
(22.5)
(26.9)
(21.6)
9.9
3.0
note: based on population over 16 in the case of USA

12. Strength: IT Infrastructure IT infrastructure of selected countries (2000)
note : per 100 (per 500 for ADSL)

13. Strength: IT Infrastructure Share of IT industry in GDP: Korea, USA, Japan

14. Strength: Access to large market China’s Economic Indicators (2000)
world
China (a)
Korea (b)
(a/b)
Population(100 mill) 60
12.7
0.4727
26.87
GDP ($bill)
30,000
1080(7th)
457(13th)
2.36
<PPP>1) -
4452(2nd)
728(13th)
6.11
GDP per capita ($)
855
9,628
0.09
Export ($bill)
6364
249(7th)
172(12th)
1.45
Import ($bill)
6669
225(8th)
160(13th)
1.40
Int’l reserves ($bill)
1952)(2nf)
1023)(5th)
1.90
note: 1) 1999      2) Sep. 2001     3) Dec. 2001

15. Expected Growth Rate of Chinese Economy
1979~2000
2001~2005
2006~2010
2011~2015
9.5
7.7
7.5
7.2

16. Share of Korean Products in Chinese Market (2001)
China’s import (A)
Import from Korea (B)
Share (B/A, %)
   textile
150.5
27.9
18.6
   Cloth
12.1
0.5
4.3
   Petrochemicals
343.6
53.1
15.5
   Nonferrous metal
18.8
2.2
11.8
   Steel
130.3
19.8
15.2
   Machinery
384.1
20.5
5.3
   Electro-domestic
16.0
1.2
7.7
   Computer
118.6
5.0
4.2
   Semiconductors
207.4
17.2
8.3
   Telecom equip.
106.7
6.9
6.4
   other elect.
237.5
2.1
   automobile
45.3
1.7
3.8
   ship
  7.0
0.1
1.6
total
2,435.7
234.0
9.6

17. Weakness: lack of core technology R&D expenditure
$100 mill
Korea          USA          Japan          UK        Germany       France
(2000)       (1999)       (2000)       (1999)       (2000)       (1999)

18. Competitiveness of Korean Industries (Industrialized countries = 100)
Prod. tech
Tech devel.
digitalized
Standardization
Quality control
design
Out-
sourcing
Textile 95 70 50 90 60
Petroq. 75 80
Steel -
Machinery 85
Electro-d
Automobile
Ship build
Telecom eq.
Computer
Semicond.
100

19. Technology trade balance
$100 mill

20. Technology trade of selected countries
Korea
(2000)
USA
(1999)
Japan UK
(1998)
Germany
France
Tech Export (a)
2.0
364.7
98.2
157.3
130.6
25.9
Tech Import (b)
30.6
132.8
41.1
87.2
169.2
31.2
(a/b,%)
6.5
274.6
238.9
180.4
77.2
83.0

23. Weakness: Competitive pressure from other Developing Countries monthly wage of selected countries
Korea
(2000)
Taiwan
Hong Kong
Singapore
Malaysia
(2001)
Thailand
China
(1999)
Vietnam
1,415
(1.0)
1,235
(0.87)
1,294
(0.91)
1,761
(1.24)
390
(0.28)
146
(0.10) 78
(0.06) 58
(0.40)

24. Export share of Korea, China, and ASEAN in US and Japan

25. Weakness: High dependence of parts and components Import dependence and import induction index
Import dependence (%)
Import induction
Korea
(1995)
(1998)
Japan
Textile
18.7
16.7
6.4
0.33
0.31
0.11
Chemic
19.5
20.9
5.8
0.34
0.38
Steel
18.9
8.8
0.39
0.41
0.18
Machinery
13.6
13.9
2.0
0.28
0.30
0.07
Electric
23.3
33.5
0.35
0.46
Med. Eq.
11.4
17.7
4.6
0.23
0.09
Trans eq
12.6
14.3
1.4
Manufacture
18.0
21.8
5.7
0.36

26. Ratio of Value Added: Korea and Japan
Textile chem steel machinery electr med eq transp manuf
Korea
Japan

27. Weakness: Low development of service sector
Share of service industry in GDP
Share of service in trade
world
Industrial C.
Middle income C
Low income C
Korea
63.0
71.0
54.0
44.0
52.4
World
Industrial C
Middle income C
Low income C
Korea
18.1
18.8
14.9
17.8
15.9

28. R&D investment and value added per worker in service sector
compared to manufacture
<R&D investment>
Korea       USA        Japan       UK             Korea       USA       Japan       UK
(1999)       (1997)       (2000)     (1999)           (2000)       (2000)      (1999)      (2000)