Singapore: Exports rebound vigorously in October, partly due to a base effect
November 17, 2017
Non-oil domestic exports (NODX) jumped 20.9% in annual terms in October, strongly contrasting September’s slight 1.1% drop. The result was the strongest print in over two and a half years and was influenced by a low base effect for electronics NODX from the previous year. It more than doubled market expectations of a 10.0% expansion. October’s reading confirmed that the city state’s economy is still benefiting from an upturn in global demand.
October’s reading resulted from soaring demand from China, Malaysia, Japan, South Korea, the U.S. and the EU. Demand from China was especially strong; it jumped more than 50% over the same month of 2016. On the other hand, demand from Hong Kong and Taiwan contracted. Looking at the sector-by-sector picture, exports of non-electronic products jumped 28.5% in October, driven by growing exports of non-monetary gold, petrochemicals and pharmaceuticals, following a much weaker 1.9% increase in September. Meanwhile, exports of electronic goods expanded 4.5% in October, contrasting the 8.0% contraction in the previous month, due to higher exports of PCs, ICs and disk media.
On a month-on-month seasonally-adjusted basis, exports surged 12.5% in October, contrasting September’s 11.0% fall.