Trade gap narrowed by 1.5% in April — PSA

The country’s balance of trade in goods posted a narrower deficit in April as growth in exports was faster than increase in imports during the month, the Philippine Statistics Authority (PSA) reported on Tuesday.

Data released by the PSA showed the Philippines’ external goods trade balance —the difference between the value of exports and imports— stood at a shortfall of $4.76 billion, lower by 1.5% than the $4.832-billion deficit seen in April 2023.

A deficit indicates that the value of a country's imports exceeded export receipts, while a surplus indicates more export shipments than imports.

Total value of imported goods that came into the country amounted to $10.976 billion, up 12.6% from $9.748 billion year-on-year.

Export receipts, meanwhile, grew faster at 26.4% to $6.215 billion from $4.916 billion in the same month last year.

Combining exports and imports, the country’s total external trade was valued at $17.192 billion in April, up 17.2% from $14.664 billion a year ago.

In terms of exports, the commodity group with the highest annual growth in April was electronic products valued at $3.567 billion, up by $891.83 million year-on-year.

Coconut oil came in second with an annual increment of $125.28 million to $192.03 million from $66.75 million a year earlier.

Completing the top five export products of the Philippines in April were mineral products, manufactured goods, and machinery and transport equipment valued at $80.64 million, $52.34 million, and $41.96 million, respectively.

By destination, Hong Kong was the country’s top trading partner with export value amounting to $1.027 billion and accounting for 16.5% of the Philippines’ total exports in April.

This was followed by the United States with $948.43 million worth of Philippine exports during the month, accounting for 15.3% of the total.

Completing the top 5 goods destination countries in April are Japan, China, and Korea with export values amounting to $823.27 million (13.2% share), $702.02 million (11.3% share), and $314.59 million (5.1%), respectively.

The Philippines’ top imports, on the other hand, are electronic products at $2.318 billion, up by $191.05 million from $2.127 billion in April 2023.

Mineral fuels, lubricants and related materials were the country’s top 2 imports valued at $1.664 billion, up by $129.01 million from $1.535 billion a year ago.

Iron and steel; cereals and cereal preparation; and medicinal and pharmaceutical products complete the top 5 imports of the Philippines in April with corresponding values of $113.05 million, $87.98 million, and $80.12 million.

China was the country’s largest supplier of imported goods valued at $3.15 billion or 28.7% of the Philippines’ total imports in April.

Completing the top five major import trading partners of the country in April are Indonesia at $959.21 million (8.7% share), Japan at $909.54 million (8.3% share), Korea at $743.11 million (6.8% share), and the US at $726.20 million (6.6% share). — RSJ, GMA Integrated News