S. Korea’s import prices fall for 3rd month in April: BOK

South Korea’s import prices declined for the third consecutive month in April due mainly to a drop in global oil prices, central bank data showed Friday.

The import price index fell 1.9 percent in April from the previous month, following a 0.4 percent decline in March, according to the preliminary data from the Bank of Korea (BOK).

It marked the third straight monthly decrease and the sharpest drop since September 2024, when the index fell by 2.6 percent on-month.

The decline came as the average price of Dubai crude, South Korea’s benchmark, dipped 6.6 percent in April to US$67.74 per barrel, government data showed.

On a year-on-year basis, the import price index declined 2.3 percent in April.

By category, import prices of raw materials fell 4.3 percent in April, while those of intermediate goods slid 1.3 percent, according to the BOK.

Import prices are a key factor influencing the country’s overall inflation as they affect production costs and consumer prices through the supply chain.

The export price index fell 1.2 percent in April from the previous month, though it rose 0.7 percent compared to a year earlier.

The on-month decline was largely attributed to the appreciation of the Korean won, which strengthened 0.9 percent against the U.S. dollar in April, averaging 1,444.31 won per dollar.

Export prices of agricultural products fell 1.1 percent, while those of petroleum products and other industrial goods dipped by 1.2 percent in April.

Consumer prices, a key gauge of inflation, rose 2.1 percent on-year in April, marking the fourth consecutive month that inflation has stayed within the 2 percent range.

The central bank earlier forecast that consumer prices will increase by 1.9 percent for the full year of 2025.