Philippines Trade Gap Narrows in September

The Philippine's trade deficit narrowed to USD 3.12 billion in September of 2019 from USD 4.02 billion in the same month a year earlier, as exports fell 2.6 percent year-on-year to USD 5.90 billion, while imports tumbled 10.5 percent to USD 9.02 billion.
PSA l Rida Husna | rida@tradingeconomics.com 11/6/2019 10:33:56 AM
Exports dropped by 2.6 percent year-on-year to USD 5.90 billion in September, reversing from an upwardly revised 0.8 percent growth in August. This was the first yearly fall in outbound shipments since March, as sales shrank for metal components (-25.8 percent); articles of apparel and clothing accessories (-20.7 percent); machinery and transport equipment (-20 percent); miscellaneous manufactured articles, n.e.s. (-8.1 percent); ignition wiring set and other wiring sets used in vehicles, aircraft and ships (-7 percent); other manufactured goods (-6.3 percent); and gold (-1.8 percent). In contrast, exports grew for other mineral products (89.6 percent), and bananas (55.5 percent). Also, sales of electronic products, the country’s top exports, rose 3.8 percent. 
Sales dropped to the US (-7.1 percent), Singapore (-17.1 percent), Germany (-7.5 percent), Thailand (-16.1 percent), Taiwan (-12.6 percent), Netherlands (-27 percent), the ASEAN countries (-17 percent), and the EU (-4.8 percent). In contrast, sales rose to Japan (19.1 percent), Hong Kong (5.3 percent), China (0.9 percent), and South Korea (64.1 percent).

Imports declined at a faster 10.5 percent to USD 9.02 billion, the sixth straight month of drop, after a downwardly revised 8.8 percent fall in August. Purchases contracted for iron & steel (-46.8 percent); cereals and cereal preparations (-22 percent); mineral fuels, lubricants (-14.5 percent); plastics in primary and non-primary forms (-9.4 percent); transport equipment (-7.8 percent);  electronic products (-7.1 percent); and industrial machinery and equipment (-1.2 percent). Conversely, imports rose for telecommunication equipment and electrical machinery (12 percent), miscellaneous manufactured articles (11 percent), and  other food and live animals (1.6 percent).

Purchases shrank from Japan (-5.5 percent), the US (-3.9 percent), South Korea (-42.8 percent), Thailand (-11.7 percent), Indonesia (-23.4 percent), Taiwan (-13 percent), the ASEAN countries (-11.3 percent), and the EU (-6.8 percent). In contrast, purchases from China, the Philippines's largest supplier of imports, rose 9.4 percent. Also, arrivals from Singapore increased 2.7 percent.

Considering the first nine months of the year, exports shrank 0.1 percent from the same period a year earlier while imports declined at a faster 3.4 percent, bringing a trade gap of USD 28.09 billion.


Philippines Trade Gap Narrows in September