New Zealand Trade Balance Unexpectedly Swings to Deficit


New Zealand posted a NZD 113 million trade deficit in June 2018, compared with a NZD 243 million surplus in the same month of the previous year and market expectations of a NZD 200 million surplus. Exports rose 4.6 percent from the previous year to NZD 4909 billion and imports jumped 12.9 percent to NZD 5022 billion.

Exports rose 4.6 percent from the previous year to NZD 4909 billion in June of 2018 compared to a downwardly revised 9.1 percent climb in the previous month. It was the second slowest growth rate in the last 16 months. Slower growth against May was mainly explained by meat and edible offal (+9.3 percent vs +17.2 percent) and logs, wood & wood articles (+9.5 percent vs +26.1 percent). Among major exports partners, sales lost steam to China (+6.2 percent vs +27.3 percent), the European Union (+6.8 percent vs +16.7 percent), Australia (+3.8 percent vs +12.3 percent). In contrast, exports to the United States rebounded 9.5 percent after a 0.6 percent dip in May.

Imports climbed 12.9 percent year-on-year to NZD 5022 billion in June of 2018, compared to an upwardly revised 6.3 percent jump in the previous month. Faster growth was mainly explained by a sharp rebound in oil & products (+64.4 percent vs -30.1 percent in May). Meantime, aircrafts and parts gained steam (+127.9 percent vs +40.0 percent). In contrast, vehicles, parts & accessories declined 1.7 percent (vs +25.1 percent). Among top import partners, purchases from China climbed further (+11.4 percent vs +11.0), whereas those to Japan cooled down (+16.8 percent vs +18.8 percent). 

New Zealand Trade Balance Unexpectedly Swings to Deficit


Mario | mario@tradingeconomics.com
7/24/2018 11:13:58 PM