According to the Ministry of Commerce, Industry and Energy's monthly trade report, total exports in July came to $13.65 billion, up 19.9 percent from the $11.39 billion posted a year earlier.

Imports added up to $13.06 billion, a 17.6 percent increase from last year's $11.18 billion, producing a July trade surplus of $590 million.

The cumulative figures for January through July are exports, $89.66 billion (down 0.2 percent from the same period last year) and imports, $83.93 billion (up 0.3 percent).

"This is the first time exports have risen by two digits since October 2000, when it saw a 13.4 percent increase to $15.24 billion," the ministry said.

However, the year-on-year growth margin for July may be a bit misleading, as the export performance in July last year was the worst in the nation's history, having recorded a 21.2 percent decline compared to the same month in 2000.

Emphasizing the significance of the near 20 percent growth, the ministry said the figure exceeded an earlier prediction of 17 percent, thanks to growing demand for semiconductors and automobiles, in addition to steady improvements in foreign economies and the end of labor strife at Doosan Heavy Industries.

In export growth rates by sector, semiconductors saw a 58.8 percent year-on-year rise to $1.38 billion, mobile telecommunication equipment 50.8 percent, computers 39.4 percent, electrical appliances 23.1 percent, automobiles 7.4 percent, general machinery 20.2 percent, petrochemicals 7.2 percent and steel 1.8 percent.

Exports of textiles, which have been experiencing a prolonged slump, also rose by 5.0 percent.

Exports of ships (-16.8 percent) and petroleum products (-6.4 percent), on the other hand, posted declines.

By export market, shipments to Japan grew 10.6 percent, the first such growth in 17 months, the United States 20.0 percent, the European Union 21.0 percent, ASEAN 31.4 percent, China 28.7 percent, the Middle East 14.8 percent and Latin America 39.0 percent.

In imports, raw-materials inched up by 4 percent, capital equipment 15 percent and consumer goods 22 percent with rising consumption of meat products, cosmetics, clothing, automobiles and electrical appliances.

"It appears the current foreign exchange condition is not reflected in July's trade figures. If the unfavorable foreign exchange rate continues and the United States' economy remains unstable, August exports may be affected," the ministry said. Exports by Korea's electronics industry are estimated to grow by 33.5 percent to $33.5 billion in the second half, the ministry added.

Meanwhile, this would bring the year's total to $62.3 billion, up 20.5 percent from last year, the ministry said in its industry report based on a survey of 93 electronics companies on their prediction for the remainder of the year.

Even when excluding semiconductor exports from the total, the second-half electronic goods shipment will grow 14.6 percent on-year to $22.2 billion, and the year's total by 15.6 percent to $43.3 billion, the report said.

A further sign of boom in the sector, the production volume of the nation's electronic goods is expected to surpass the 100 trillion won-mark for the first time at 105.2 trillion won, up 24.1 percent from last year.

The second-half production growth rate alone is calculated to climb 32.2 percent to 56.6 trillion won, the ministry said.

The products leading such robust business will be household appliances, with their exports rising by 23.9 percent and production by 19.8 percent, according to the report.

By category, all of Korea's key household appliances are anticipated to post double-digit export expansions - color televisions by 16.3 percent, refrigerators 13.5 percent, washing machines 20.2 percent, air conditioners 15.1 percent and microwaves 10.2 percent.

"Particularly the production of color televisions will hit 4.9 trillion won (up 22.1 percent), refrigerators 2.7 trillion won (24.9 percent), and air conditioners 2.8 trillion won (34.3 percent)," the report said.

Those electronics goods designed for industrial use will also see an export increase of 10 percent and production 11.7 percent, it added.

Exports of mobile phones and computer monitors are also forecast to jump by 31.4 percent and 38.1 percent, respectively.

The biggest rise in overseas shipments, however, is reserved for semiconductors, of which exports are expected to leap 97.9 percent to $11.2 billion in the second half. This would bring the year's total growth rate to 33.5 percent.

Overall, 74 percent of those firms surveyed said exports would improve in the second half, with 61 percent predicting that the increase will exceed 15 percent.

Regarding domestic consumption and production, 69 percent predicted growth, while for investment and management, predictions were less optimistic with 54 percent and 51 percent, respectively, forecasting improvement.

Meanwhile, electronic goods' exports in the first half recorded a modest growth, with household appliances rising by 8.2 percent to $5.44 billion and industrial products 22.3 percent to $12.92 billion.