Philippines: Exports rebound in June
August 13, 2013
In June, exports rose 4.1% over the same month last year. The increase contrasted the 0.8% drop seen in the previous month and marked the fastest pace in six months. Nevertheless, the result was below market expectations of an 8.1% rise.
The result mainly reflects an improvement in the manufactures exports for which growth was flat in June (May: -10.5%). In particular, export of electronic products - which are classified as a sub-category of manufactures and account for 56% of exports - improved, rising from minus 7.3% in May to minus 2.2% in June. Exports of agro-based products rose 7.6% in June, below the 13.4% rise recorded in May. FocusEconomics Consensus Forecast panellists see exports expanding 6.5% in 2013 and 7.8% in 2014.
In May (the latest month for which data is available), imports dropped 2.4% in annual terms (April: +7.4% year-on-year). Following the strong gain in exports in May, the trade deficit narrowed to USD 364 million (May 2012: USD 454 million deficit) and the 12-month moving sum of the trade balance remained at a USD 10.5 billion deficit (April: USD 10.5 billion deficit). FocusEconomics Consensus Forecast panellists expect the trade deficit to widen in the months ahead, reaching USD 12.4 billion in 2013 and USD 14.0 billion in 2014.