Exports of Korean IT products rose by 0.7 percent year-on-year in October, recording over US$12 billion. The Ministry of Knowledge Economy said this was the second consecutive month that IT exports increased compared to a year earlier.

IT imports totaled $5.7 billion last month, leaving the monthly trade surplus at a little less than $6.4 billion, the second largest surplus after the figure hit a record high in September.

Outbound shipments of semiconductors surged by nearly 37 percent and exports of display panels rose by more than 10 percent in October. The knowledge ministry says this is thanks to stronger demand for IT products in light of the upcoming Christmas season in major markets.

But October exports of Korean mobile phones dipped by 31 percent compared to the same period last year, mainly due to a reduced global market and increased overseas production as part of manufacturers' efforts to bring down prices.

China was the largest export destination of Korea's IT products with its imports posting over $5 billion last month, followed by the United States, the European Union and Central and South America.

The government expects a further rise in IT exports until the end of the year and says the country's yearly outbound shipments of IT products are expected to reach $120 billion in 2009.