0
Top 10 export destinations for South Korean small and medium-sized enterprises (SMEs) in the third quarter and January–September period of 2026. (Unit: $100 million, %)

South Korea's exports by small and medium-sized enterprises (SMEs) rose 8.8% year on year to $33.4 billion in the third quarter, the Ministry of SMEs and Startups (MSS) announced on Oct. 26. Cumulative exports from January through September also increased 9.5% from a year earlier to $96.5 billion, with both quarterly and cumulative shipments reaching record highs.

The growth was largely driven by K-beauty products and emerging industries despite persistent uncertainty in the global economic environment.

By product category, cosmetics exports reached a record $2.79 billion in the third quarter, up 28.6% year on year, supported by broad-based growth in North America (+33.1%), Europe (+58.6%) and emerging markets such as Latin America (+141.3%). Semiconductor exports also hit a third-quarter record of $1.39 billion, up 68.8%, while exports of semiconductor manufacturing equipment rose 38.3% to a record $1.14 billion, driven by the global artificial intelligence (AI) boom. By contrast, exports to the Middle East declined 7.8% amid geopolitical tensions and disruptions caused by the closure of shipping routes.

Online exports also posted strong growth. Third-quarter online exports by SMEs surged 62.4% year on year to $470 million, while the number of exporting companies climbed 35.2% to 3,557. SMEs accounted for 65.6% of South Korea's total online exports. Cosmetics exports through online channels reached $360 million, representing 75.3% of SME online exports. Europe emerged as a major hub for online exports, with shipments to the United Kingdom surging 729.6% and those to the Netherlands jumping 515.3%.

"Despite the unstable external environment, SMEs achieved strong export performance in both major and emerging markets, led by K-beauty," said Shim Jae-yoon, Director General for Global Growth Policy at the MSS. "We will strengthen support programs, including export vouchers and overseas certifications, and make every effort to help SMEs grow into global companies."

                                                                                                               Oh Se-eun