Singapore: Non-oil exports increase in May
Non-oil domestic exports (NODX) grew 8.8% year-on-year in May, accelerating from March’s 6.0% increase. Despite marking the sixth successive month of growth—driven by strong growth in electronics exports—May’s result nevertheless came in far below market expectations. In terms of markets, exports to China, Indonesia and Hong Kong grew in a sign of continued strength in regional demand, while exports to the EU, Japan and the U.S fell.
In seasonally-adjusted month-on-month terms, NODX exports declined 0.1% in May, following April’s 8.8% decrease.
Looking ahead, Barnabas Gan, economist at United Overseas Bank, commented:
“Coupled with the improving global economic backdrop, the uptick in semiconductor demand and rising oil prices are strong drivers to lift Singapore’s export momentum in 2021. Nonetheless, Singapore’s economic outlook will depend on the Covid-19 situation, and any exacerbation seen from the recent discovery of new clusters this week could inject risks to Singapore’s overall growth prognosis.”