Philippines Trade Deficit Widens in February

Philippines reported a trade deficit of USD 813 million in February of 2015, markedly up from a USD 130.93 million gap a year earlier as exports fell while imports grew.
National Statistics Office l Rida Husna l 4/28/2015 11:30:13 AM
In February, exports decreased by 3.1 percent year-on-year to USD 4.51 billion. Sales of woodcrafts and furniture dropped the most by 40.7 percent, following a 43.4 percent decline in January. Outbond shipments also fell for: other mineral products (-36.6 percent), metal components (-35.4 percent), electronic equipment and parts (-24.8 percent) and machinery and transport equipment (-3.6 percent). Sales of other manufactures, the second top exports earner in February, declined by 12.8 percent, following a  45.5 percent drop in January. In contrast, exports increased for: ignition wiring set and other wiring sets used in vehicles, aircrafts and ships (+39.2 percent), articles of apparel and clothing accessories (+24.0 percent) and chemicals (+2.9 percent). Exports of electronic products, the country's top exporst and accounting for 43.7 percent, also rose by 4.8 percent, accelerating from a 14.6 percent increase in January. Among the major groups of electronic products, Components/Devices (Semiconductors), increased by 16.0 percent and accounted for 29.5 percent among electronic products.

Sales to Japan, the country's top destination of exports, fell by 20.2 percent to USD 942.29 million, followed by China (-34.8 percent to USD 445.36 million, accounting for a 9.9 percent share of exports revenue) and the EU countries (-4.5 percent to USD 522.39 million, 11.6 percent share). Those to Singapore, representing a 5.9 percent share, also declined by 14.3 percent to USD 266.52 million. In contrast, outbond shipments increased to: the US (+16.7 percent to USD 730.97 million, 16.2 percent share), Hong Kong (+28.7 percent to USD 422.23 million, 9.4 percent share) and the ASEAN countries (+7.1 percent to USD 723.28 million, 16.0 percent share). 

Imports grew by 11.2 percent to USD 5.33 billion. Purchases increased for most categories except transport equipment; mineral fuels, lubricants and related materials and telecommunication equipment and electrical machinery. Inbound shipments of miscellaneous manufactured products rose the most by 57.8 percent, followed by electronic products (+42.4 percent), cereals and cereal preparation (+39.0 percent), other food and live animals (+21.0 percent), industrial machinery and equipment (+10.7 percent) and plastics in primary and non-primary forms (+0.5 percent). In contrast, purchases of transport equipment dropped the most by 58.1 percent, followed by mineral fuels, lubricants and related materials (-43.4 percent) and telecommunication equipment and electrical machinery (-3.6 percent).

Purchases from main trading partners increased except from Japan. Inbound shipments from China, the biggest source of imports, surged 47.8 percent to USD 865.59 million, followed by the US (+13.3 percent to USD 567.88 million, 10.7 percent share), Taiwan (+32.7 percent to USD 449.20 million, 8.4 percent share), Singapore (+27.2 percent to USD 436.88 million, 8.2 percent share), the ASEAN countries (+8.6 percent to USD 1.31 billion, 24.6 percent share) and the EU countries (+3.5 percent to USD 658.49 million). In contrast, sales from Japan declined by 15.2 percent to USD 403.09 million and accounted for a 7.6 percent share.

In January 2015, the country registered a revised USD 862.0 million trade deficit.

Philippines Trade Deficit Widens in February