Philippine trade gap in May widens to $3.7 billion

July 10, 2018

The Philippines' trade deficit rose to $3.7 billion in May from the previous month's $3.62 billion, the Philippine Statistics Authority (PSA) said Tuesday.

Exports went down by 3.8 percent, from $5.99 billion in May 2017 to $5.76 billion in May 2018. Imports increased to $9.46 billion in May from $8.49 billion in the same month of previous year or an annual growth rate of 11.4 percent.

Lower exports were due to declines in three out of the top ten commodities. These were ignition wiring set and other wiring sets used in vehicles, aircrafts and ships (40.8 percent); other mineral products (29.5 percent); and electronic equipment and parts (8.6 percent).

Top imports were led by mineral fuels, lubricants and related materials (41.6 percent); iron and steel (31.4 percent); miscellaneous manufactured articles (26.9 percent); electronic  products (16.1 percent) and telecommunication equipment and electrical machinery (14.8 percent).

The United States was the Philippines' top export destination, as shipments reached $840.15 million or a share of 14.6 percent of total exports in May.

Hong Kong placed second with exports value of $796.47 million or 13.8 percent of the total exports for May.

China came in third with $761.40 million or 13.2 percent of the total exports. Japan, including Okinawa, ranked fourth with export shipments valued at $756.31 million or a share of 13.1 percent.

China was the country’s biggest source of imports with a 20.3 percent share  Import payments stood at $1.92 billion,  an increase of 18.8 percent from $1.62 billion in May 2017.

South Korea, which placed second, accounted for 10.3 percent or an import value of $978.61 million. This is an increase of 42.4 percent from the May 2017 value amounting to $687.04 million.

Japan, including Okinawa, ranked third with imports valued at $901.27 million or a share of 9.5 percent. Imports declined by 5.6 percent from $955.12 million in May 2017.

The United States, placed fourth with imports valued at $689.71 million or a share of 7.3 percent. Import bills from this country decreased by 5.2 percent from $727.69 million in May 2017.

Thailand ranked fifth with a 6.9 percent share of the total import bills   Import bills rose by 13 percent from $580.29 million in May 2017 to $655.85 million in May 2018. DMS