Germany: Trade surplus decreases in May as exports contract
July 8, 2016
The seasonally- and calendar-adjusted trade surplus decreased from EUR 24.1 billion in April to EUR 22.2 billion in May, as exports dropped and imports inched up. On a seasonally-adjusted basis, exports declined 1.8% over the previous month (April: +0.1% month-on-month). Meanwhile, imports increased 0.1% in May over the previous month (April: -0.3% mom).
Compared to the same month last year, exports increased 1.6% in May, which was below April’s 3.9% jump. Imports were broadly unchanged, falling a slight 0.1% compared to the same month last year (April: 0.0% year-on-year). In the 12 months up to May, exports grew an annual 4.4%, which was down from April’s 4.7% increase. At the same time, imports grew 3.0% (April: +3.3% year-on-year), and thus the 12-month trade balance stabilized at the record high of EUR 250.8 billion.
In a recent statement, the Federation of German Wholesale, Foreign Trade and Services (BGA) commented that German trade remained robust in May, despite the fact that global trade showed little dynamism. The BGA highlighted that exports were mainly supported by demand from EU-countries.
Author: Christopher Mc Innes, Economist