Philippines: Exports expand at slowest pace in six months in October
December 10, 2014
In October, exports rose 2.9% over the same month last year, marking a notable deceleration compared to September’s strong 15.7% increase and coming in far below market expectations of an 11.2% expansion.
October’s deceleration was driven by slower growth in the exports of manufacturing products. Exports of manufactures fell sharply from the 19.7% rise tallied in September to 2.7% growth in October, the lowest gain in six months. Exports of electronic products—classified as a sub-category of manufactures—slowed down from September’s 13.6% increase to a 4.5% expansion in October. According to the Philippine Statistics Authority, electronic products account for the largest share of the total exports revenue. Exports of agro-based products rebounded strongly, swinging from a 4.3% contraction in September to a 15.7% increase in October.
In September (the latest month for which data are available), imports fell 2.6% in annual terms, following August’s 1.3% decline. Meanwhile, the trade balance rebounded and tallied a USD 281 million surplus in September (September 2013: USD 663 million deficit).