Business · Markets · 2 hrs ago
South Korean won strengthens as semiconductor exports boost dollar supply
On Oct.
23, the won stood at 1,324.6 per US dollar, its strongest level since October 2024.
The currency has risen by more than 230 won from its low on July 2.
Strong semiconductor exports are bringing dollars into South Korea, as exporters exchange their overseas earnings for won.
That extra dollar supply is helping the won rise, despite higher oil prices and worries about AI investment.
Bank of Korea Governor Shin Hyun-song said the rise was a return toward normal and that the won remains undervalued compared with its past average.
Some market watchers expect the won to strengthen further, potentially passing 1,300 per dollar by year-end and reaching 1,250 in the first half of next year.
The South Korean won strengthened to 1,324.6 per US dollar in daytime trading on October 23.
Strong semiconductor-led exports have increased the supply of dollars as exporters convert overseas earnings into won.
The won has risen by more than 230 against the dollar since it fell to 1,555.8 on July 2.
The Bank of Korea governor described the recent rise as a return toward a more normal exchange rate and said the won remained undervalued.
Some market observers expect the won to strengthen further, potentially reaching 1,250 per dollar in the first half of next year.
- Who
- South Korean exporters, particularly semiconductor companies, are selling dollars. Bank of Korea Governor Shin Hyun-song commented on the won’s strength.
- What
- The won strengthened as export-related dollar sales increased dollar supply in South Korea’s foreign exchange market.
- When
- The won closed daytime trading at 1,324.6 per dollar on October 23. The article was published October 25, 2026.
- Where
- Seoul’s foreign exchange market, South Korea.
- Why
- Semiconductor-led export strength has brought more dollars into the market as exporters exchange them for won.
This story does not have two clearly opposing sides.
The won had fallen to 1,555.8 per dollar.
Shin Hyun-song said the won’s rapid rise was a normalization of an abnormal exchange rate.
The won closed daytime trading at 1,324.6 per dollar.
Maeil Business published its report on the won’s strength.
- Exchange rate
- 1,324.6 won per US dollar on October 23
- Previous low
- 1,555.8 won per dollar on July 2
- Recent rise
- More than 230 won since July 2
- Currency valuation
- Effective exchange-rate index was around 89 at the end of August, compared with a historical average of about 101
- Forecast
- Seo Ji-wang said the won could reach 1,250 per dollar in the first half of next year
What people are saying
The won is still considerably undervalued compared with its average in previous years
Dollar-selling volumes from exporters such as Samsung Electronics continue to pour in without letup