Philippines Trade Gap Narrows in May


The Philippine's trade deficit narrowed to USD 3.28 billion in May of 2019 from USD 3.88 billion in the same month a year earlier, as exports increased while imports declined.

Year-on-year, exports rose by 1.0 percent to USD 6.15 billion, unchanged from an upwardly revised figure in April. It was the second straight increase in exports, as sales advanced for copper concentrates (192.1%); ignition wiring set and other wiring sets used in vehicles, aircrafts and ships (31.7%); bananas (28.6%); chemicals (20.1%); metal components (14.0%), gold (8.3%), and other mineral products (7.0%). Also, sales of electronic products, the country's the country's top exports, increased by 6.2 percent. By contrast, sales fell for machinery and transport equipment (-59.2%); and other manufactured products (-5.4%).

Among the Philippines' major trading partners sales advanced to the US (23.1%), China (11.5%), Thailand (8.1%), Germany (5%), Japan (1.2%). In contrast, exports contracted to South Korea (-19.7%), Singapore (-14.7%), Taiwan (-13.4%), Netherlands (-8.1%), Hong Kong (-4.4%), the EU countries (-17.5%), and the ASEAN countries (-1.2%). 

Imports dropped by 5.4 percent to USD 9.43 billion in May 2019, following a 1.9 percent fall in the prior month. This was the second straight month of yearly decline in inbound shipments, as purchases shrank for iron and steel (-25.5%); transport equipment (-19.3%); mineral fuels, lubricants (-17.2%); plastics in primary and non-primary forms (-13.7%); industrial machinery and equipment (-4.8%); and other food and live animals (-3.7%). In contrast, imports grew for cereals and cereal preparations (72.1%); miscellaneous manufactured articles (8.1%); electronic products (2%), and telecommunication equipment and electrical machinery (0.2%).

Purchases decreased from Japan (-13.6%), South Korea (-24.7%), Taiwan (-24.1%), and Thailand (-8.1%). Conversely, purchases from China, the Philippines's largest supplier of imports, rose 6.4%. Also, imports increased from the US (0.8%), Singapore (22.8%), Indonesia (3.6%), Malaysia (55.7%), Vietnam (56.0%),  the ASEAN countries (16.1%), and the EU (10.5%)
 
Considering the first five months of the year, exports fell 1.3 percent from a year earlier while imports increased 1.0 percent, recording a USD 16.51 billion trade gap.
 


Philippines Trade Gap Narrows in May


National Statistics Office of Philippines l Chusnul Ch Mana | chusnul@tradingeconomics.com
7/10/2019 2:35:19 AM