Australia Trade Surplus Narrows 20% in July



Australia's trade surplus narrowed by 20 percent month-over-month to AUD 1.55 billion in July of 2018 from an upwardly revised AUD 1.94 billion in the prior month and above market expectations of a AUD 1.4 billion surplus, as exports fell while imports showed no change.

Exports from Australia decreased by 1 percent month-on-month to AUD 36.07 billion in July 2018. Sales of non-rural goods dropped 1 percent to AUD 22.79 billion, mainly due to metal ores and minerals (-5 pct); other non-rural (-29 pct); and other mineral fuels (-1 pct). In addition, exports of rural goods went down 2 percent to AUD 4.06 billion, dragged by cereal grains & cereal preparations (-11 pct); and wool and sheepskins (-8 pct). Also, sales of non-monetary gold tumbled 10 percent to AUD 1.79 billion. Exports of services were almost unchanged at AUD 7.42 billion, due to travel sales which declined 1 percent while sales of other services increased by 2 percent. Meantime, net exports of goods under merchanting jumped 175 percent to AUD 11 million.

Imports were almost unchanged month-over-month at AUD 34.52 billion in July. Purchases of intermediate and other merchandise goods rose by 6 percent to AUD 11.32 billion, driven by fuels and lubricants (23 pct). Also, purchases of non-monetary gold went up 11 percent to AUD 707 million. Imports of services increased 1 percent to AUD 7.75 billion, led by travel (2 pct); transport (2 pct); and other services(1 pct). In contrast, purchases of capital goods declined 6 percent to AUD 6.17 billion, due to civil aircraft and confidentialised items (-49 pct); telecommunications equipment (-4 pct); machinery and industrial equipment (-2 pct); ADP equipment(-4 pct); and industrial transport equipment n.e.s. (-3 pct). In addition, imports of consumption goods declined 4 percent to AUD 8.58 billion, mainly due to textiles, clothing and footwear (-9 pct); consumption goods n.e.s. (-2 pct); and food and beverages, mainly for consumption (-4 pct).
 
Considering the first seven months of the year, the trade surplus narrowed to AUD 8.21 billion from AUD 10.54 billion in the same period of 2017.
 
 

Australia Trade Surplus Narrows 20% in July


Australian Bureau of Statistics l Chusnul Ch Manan | chusnul@tradingeconomics.com
9/6/2018 9:55:44 AM