IP Trade Imbalance Grows as Coronavirus Drives Traffic to Foreign Tech Firms

Korea suffered a large trade deficit of W1.87 billion in intellectual property rights last year, about a three-fold increase from 2019, as more people embraced Netflix, YouTube and other online streaming services amid the coronavirus lockdown, the Bank of Korea said Tuesday (US$1=W1,131).

But the deficit was offset by a surplus in copyrights related to culture and arts, thanks to the global popularity of K-pop, led by Bangtan Boys, also known as BTS.

The BOK said Korea posted a surplus of W160 million in the sector last year, compared to a deficit of W190 million a year earlier.

An increase in online activity amid the lockdown heavily boosted spending on global streaming platforms, online games and other services.