Israel: Merchandise exports jump at a slower rate in June
July 13, 2021
Merchandise exports jumped 16.1% year-on-year in June, following May’s 22.7% upturn. Meanwhile, merchandise imports jumped 39.2% on an annual basis in June (May: +51.5% yoy). Both figures were flattered somewhat by favorable base effects, given that exports and imports were fairly downbeat in June last year. However, exports and imports were also up markedly from their June 2019 levels, showing that underlying external and domestic demand improved.
As a result, the merchandise trade balance deteriorated from the previous month, recording a USD 3.1 billion deficit in June (May 2021: USD 2.5 billion deficit; June 2020: USD 1.6 billion deficit). Lastly, the trend deteriorated, with the 12-month trailing merchandise trade balance recording a USD 27.6 billion deficit in June, compared to the USD 26.0 billion deficit in May.
Author: Oliver Reynolds, Economist