Germany: Trade surplus widens on expansion in exports and falling imports
January 8, 2014
The seasonally and calendar-adjusted trade balance recorded a EUR 17.8 billion surplus in November 2013. The result came in above the EUR 16.7 billion surplus registered in October, but fell short of market expectations of an increase to EUR 18.0 billion.
The trade surplus widened in November as exports increased 0.3% over the previous month in seasonally-adjusted terms, mirroring the result tallied in October. The reading, which marks the fourth consecutive month in which exports increased, was on par with market expectations. Meanwhile, imports fell a sharp 1.1% in November, which contrasted both the 3.0% expansion observed in October and market expectations of a 0.3% rise.
Compared to the same month of the previous year, shipments abroad rose 1.0% in November (October: +0.7% year-on-year). In contrast, imports decreased 0.4% annually in the same month (October: -1.4% yoy), marking the fourth consecutive contraction.
The Federation of German Wholesale, Foreign Trade and Services (BGA) expects exports to expand 3.0% in 2014 and to reach a record level of EUR 1.14 trillion. The BGA expects the trade surplus to reach EUR 224 billion.
Author: Ricardo Aceves, Senior Economist