South Korea's trade surplus shrank to 821 million U.S. dollars in August due to surging imports that marked the record monthly high, a government report showed Thursday.

According to an e-mailed statement by the Ministry of Knowledge Economy, the country's trade surplus stood at 821 million dollars in August, sharply down from 6.32 billion dollars tallied in July.

Import growth outpaced exports, which account for around half of the South Korean economy. Exports grew by 27.1 percent on-year to 46.38 billion dollars last month, while imports jumped 29.2 percent on-year to reach a fresh record high of 45.56 billion dollars.

Despite the slower growth, the nation's trade balance has remained in the black for the 19th consecutive month in August.

Export growth slowed in August amid economic slowdown in advanced economies such as the United States and Europe, but strong demand for oil products, ships and autos contributed to brisk shipments of locally-made goods, the report showed. Exports of oil products, ships and automobiles surged 84.5 percent, 77.5 percent and 32.5 percent on-year in August respectively.

Information technology (IT)-related products showed poor performance due to falling prices and weaker demand. Overseas shipments of semiconductors and flat screen panels decreased 14.1 percent and 21.5 percent each last month.

By region, exports to advanced nations showed poor performance, but brisk exports to emerging nations led the August export growth. Overseas shipments to Japan, China and the Association of Southeast Asian Nations (ASEAN) expanded 30.9 percent, 16.5 percent and 26.9 percent in August from a year earlier, while exports to the United States decreased by 5.9 percent amid growing worries over the world's largest economy entering potential double- dip recession.

Meanwhile, imports surged to a new record high level in August due to solid demand for raw materials such as oil and natural gas. Inbound shipments of oil, natural and coal climbed 45.6 percent, 33.5 percent and 37.5 percent on-year in August respectively.

Surging imports in August was also attributed to strong demand for clothing and pork, imports of which surged 45.4 percent and 92. 1 percent each in August from a year earlier.