(BSS/AFP) - Soaring global demand for semiconductors sent South Korea`s exports to their highest-ever level in 2025, official data showed Thursday, despite a year of trade turmoil sparked by US President Donald Trump`s tariff onslaught.

Total exports last year were valued at over $700 billion, according to data from Seoul`s industry ministry, up 3.8 percent from the previous year.

A worldwide surge in interest in artificial intelligence saw the semiconductor industry export goods worth $173.4 billion in 2025 -- a record high and an increase of more than 20 percent from the previous year, the ministry said.

High-priced memory chips used in AI data centres were in strong demand, they added.

South Korean tech juggernaut Samsung Electronics is one of the world`s top memory-chip makers, providing crucial components for the AI industry and the infrastructure it relies on.

South Korea is also home to SK hynix, another key player in the global semiconductor market.

Cars, South Korea`s other key export, also performed strongly, with auto shipments rising to $72 billion, the highest on record despite US tariff pressures.

Asia`s fourth-largest economy was initially hit with a 25 percent across-the-board tariff by the United States but managed to secure a last-minute agreement for a reduced 15 percent rate.

South Korea is one of Washington`s biggest trade partners.