Indonesia Trade Gap Larger than Estimated in January
Indonesia's trade deficit widened to USD 1.16 billion in January 2019 from USD 0.76 billion in the same month a year earlier and worse than market consensus of a USD 0.97 billion gap. It was the fourth straight month of trade gap, as exports dropped 4.70 percent year-on-year while imports decreased at a softer 1.83 percent.
2/15/2019 4:47:27 AM
Imports declined 1.83 percent from a year earlier to USD 15.03 billion in January, following an upwardlly revised 1.72 percent rise in the prior month, compared to market expectations of a 1.05 percent drop. It marked the first yearly drop in inbound shipments since June 2017, amid efforts from government to reduce purchases and help manage the country's current account deficit. Purchases of oil and gas plunged by 25.22 percent to USD 1.69 billion while those of non-oil and gas went up 2.21 percent to USD 13.34 billion.
Compared to the prior month, imports dropped by 2.19 percent, with purchases of gas tumbled by 16.58 percent while those of non-oil and gas showed no growth. Imports went down for both capital goods (-12.10 percent) and consumption goods (-16.75 percent) while those increased for raw material (2.08 percent). Among major trading partners, imports decreased from: the US (-1.97 percent); China (-6.69 percent); India (-14.74 percent); and Thailand (-3.53 percent). Meantime, imports increased to Japan (2.70 percent); South Korea (2.39 percent); Taiwan (20.68 percent); Singapore (0.60 percent); Germany (41.45 percent); the Netherlands (9.83 percent); Malaysia (7.64 percent); Australia (13.55 percent), and Italy (39.86 percent).
Exports fell 4.70 percent from a year earlier to USD 13.87 billion, worse than market consensus of a 2.54 percent fall and after a downwardly revised 3.57 percent drop in the prior month. Sales of non-oil and gas products dropped by 4.50 percent to USD 12.63 billion while those of oil and gas declined by 6.72 percent to USD 1.23 billion.
Compared to the previous month, exports went down 3.24 percent, as sales oil and gas slumped by 29.30 percent while those non-oil and gas products went up by 0.38 percent. By categories, outbound shipments fell for: nickel (-41.04 percent); machinery and mechanical aircraft (-22.42 percent); electric machinery and equipment (-12.81 percent); chemical products (-11.06 percent); and mineral fuel (-1.76 percent). By contrast, sales increased for: ore, metal crust and metal ash (37.08 percent); organic chemicals (32.12 percent); iron and steel (10.84 percent); footwear (9.85 percent), and
vehicles and parts (7.70 percent).
Sales fell to: Singapore (-24.51 percent); Malaysia (-20.33 percent); the Netherlands (-9.08 percent); India (-9.07 percent); Italy (-8.58 percent), South Korea (-4.16 percent); and Taiwan (-2.48 percent). On the other hand, sales increased to the US (2.00 percent); China (2.06 percent); Japan (3.18 percent); Thailand (31.47 percent); Germany (2.63 percent), and Australia (5.55 percent).