Philippines Trade Balance Swings to Deficit in June


Philippines reported a trade deficit of USD554.79 million in June of 2015, swinging from a USD632.84 million surplus a year earlier as exports fell while imports surged.

In June, exports declined by 3.3 percent year-on-year to USD 5.28 billion. Sales of other mineral products fell the most by 38.2 percent, followed by articles of apparel and clothing accesssories (-29.5 percent), chemicals (-17.0 percent); machinery and transport equipment (-5.8 percent); ignition wiring set and other wiring sets used in vehicles, aircrafts and ships (-5.2 percent) and other manufactures (-1.6 percent). In contrast, exports increased for: copper concentrates (+295.7 percent), woodcrafts and furniture (+25.8 percent) and coconut oil (+3.9 percent). Electronic products, the country's top exports and accounted for 46.2 percent of total share, also rose by 9.5 percent. Among electronic products, components/devices grew by 16.9 percent year-on-year.
 
Outbond shipments  to the US, representing a 13.6 percent of total exports, dropped by 4.3 percent to USD720.35.00 million, followed by China (-30.2 percent to USD600.92 million, 11.4 percent share) and the ASEAN countries (-10.4 percent to USD690.47million. In contrast, sales to Japan, the country's top destination of exports, rose by 29.0 percent to USD1.24 billion. Exports also increased to Hong Kong (+10.7 percent to USD539.79 million, 10.2 percent share), South Korea (+67.2 percent to USD357.85 million, 6.8 percent share) and the EU countries (+10.1 percent to USD616.41 million, 11.7 percent share).

Imports increased by 22.6 percent to USD5.92 billion. Purchases rose the most for electronic products (+120.2 percent), followed by industrial machinery and equipment (+39.2 percent), telecommunication equipment and electrical machinery (+23.3 percent), other food and live animals (+14.3 percent), miscellaneous manufactured articles (+12.6 percent) and cereals and cereal preparations (+8.7 percent). In contrast, imports declined for: mineral fuels, lubricants and related materials (-21.9 percent); plastics in primary and non-primary forms (-14.3 percent); transport equipment (-7.2 percent) and iron and steel (-2.5 percent).

Purchases from China, the biggest source of imports, increased by 1.7 percent to USD884.06 million. Imports from the country's other trading partners also rose: the US (+123.8 percent to USD845.29 million, 14.3 percent share), Japan (+6.0 percent to  USD494.12 million, 8.3 percent share), Taiwan (+111.9 percent to USD484.83 million, the ASEAN countries (+19.3 percent to USD1.38 billion) and the EU countries (+16.0 percent to USD443.81 million). In contrast, purchases from South Korea, representing a 6.8 percent share, declined by 12.0 percent to USD403.16 million.

In June 2015, the country registered a revised USD 507 million trade surplus.


 

Philippines Trade Balance Swings to Deficit in June


PSA l Rida Husna l rida@tradingeconomics.com
8/25/2015 2:52:06 AM