PH trade deficit shrinks to $4.2 B in July
At A Glance
- The Philippine trade deficit narrowed by 30% to $4.20 billion in July compared to the previous year. The seven-month gap also decreased by 10.5% to $16.49 billion.<br>Export sales fell by 1.2% to $6.14 billion. Coconut oil and mineral products experienced significant declines in export values. Major trading partners for exports included the United States, Japan, and Hong Kong.<br>Total export earnings from January to July decreased by 8.2% to $41.9 billion.<br>Import receipts in July decreased by 15.3% to $10.35 billion. Notable declines in import values were observed in mineral fuels, electronic products, and iron and steel.<br>Major suppliers of imported goods included China, Japan, and Indonesia.<br>Total import value from January to July decreased by 9.1% to $73.27 billion.
The country’s trade deficit narrowed in July after both exports and imports contracted by double-digits, data from the Philippine Statistics Authority (PSA) showed Friday, Sept. 8.
The trade deficit, or the difference between the value of export and import, narrowed by 30 percent to $4.20 billion in July, compared with $5.10 billion a year ago.
The July trade balance brought the country’s seven-month deficit to $32.18 billion, lower by 10 percent from $35.84 billion in the same period last year.
Export sales declined by 1.2 percent to $6.14 billion from $6.22 billion in the previous year.
During the month, coconut oil posted the highest decline in the value of exports by $85.52 million to $121.87 million. This was followed by mineral products by $78.58 million to $219.41 million.
Other manufactured goods also decreased by $49.5 million to $275.74 million, while chemicals by $34.8 million to $131.78 million as well as miscellaneous manufactured articles by $17.67 million to $52.18 million.
By major trading partner, exports to the United States of America comprised the highest export value amounting to $1.5 billion, followed by Japan, $861.50 million; Hong Kong, $797.91 million; People’s Republic of China, $758.22 million; Hong Kong, $526.86 million; and Singapore, $310.60 million.
From January to July, total export earnings amounted to $41.9 billion, lower by 8.2 percent compared with $44.75 billion in the same period last year.
Meanwhile, import receipts were valued at $10.35 billion in July, down 15.3 percent from $12.22 billion a year ago.
The substantial drop was recorded in the import of mineral fuels, lubricants and related materials by $803.37 million to $1.53 billion, electronic products by $532.98 million to $2.26 billion, and iron and steel by $213.6 million to $335.99 million.
Moreover, animal and vegetable oil and fats decreased by $148.82 million to $109.44 million while metalliferous ores and metal scrap was down by $109.79 million to $166.56 million.
People’s Republic of China was the country’s biggest supplier of imported goods valued at USD 2.64 billion, followed by Japan, $865.3 million; Indonesia, $810.20 million; USA, $687.53 million; and Thailand, $644.44 million.
In the first seven months of the year, the total import value reached $73.27 billion, a decline of 9.1 percent compared with $80.59 billion last year in the same period. (Xander Dave C. Ceballos)