External Trade Performance : August 2007 (Preliminary)

  r - revised

Total external trade in goods for January to August 2007 reached $68.155 billion, representing a 4.3 percent increment from $65.347 billion during the same 8-month period in 2006. Similarly, total imports grew by 3.8 percent to $35.325 billion from $34.044 billion. Exports likewise registered an increase of 4.9 percent to aggregate dollar revenue of $32.829 billion from $31.303 billion during the same 8-month period in 2006. Balance of trade in goods (BOT-G) for the Philippines registered a deficit of $2.496 billion during the 8-month period in 2007.

Figure 1A  Philippine Trade Performance in January - August: 2006 and 2007
(F.O.B. Value in Million US Dollar)
  
 

Figure 1B  Philippine Trade Performance in August : 2006 and 2007
(F.O.B. Value in Million US Dollar)
  
 

AUGUST 2007 IMPORTS UP BY 1.8 PERCENT

Total merchandise trade for August 2007 decreased by 0.9 percent to $9.075 billion from $9.157 billion in August 2006.  This is due to the lackluster performance of exports posting a decrease of 4.0 percent to $4.104 billion from $4.274 billion in August 2006. However, receipts generated by imports increased slightly by 1.8 percent to $4.971 billion from last years $4.884 billion. The balance of trade in goods   (BOT-G) in August 2007 recorded a deficit of $867.00 million, higher than the last years recorded deficit of $610.00 million.

ELECTRONIC PRODUCTS ACCOUNT FOR 46.3 PERCENT OF IMPORT BILL

Accounting for 46.3 percent of the aggregate import bill, payments for Electronic Productsamounted to $2.300 billion or 4.6 percent increase over last year's figure of $2.198 billion.  Compared to the previous months level, purchases likewise grew by 6.8 percent from $2.154 billion.

Imports of Mineral Fuels, Lubricants and Related Materials in August 2007 ranked second with a 19.5 percent share, posting a growth of 5.9 percent to $970.72 million over the previous years level of $916.51 million.   The increase on the FOB values of these commodities may possibly due to the increase in the average world price of Dubai crude.

Industrial Machinery and Equipment, contributing 3.5 percent to the total bill, was the RPs third top import for the month with payments placed at $176.20 million from last years $171.45 million or an increase of 2.8 percent. 

Transport Equipment ranking fourth recorded a share of 3.3 percent at $166.14 million worth of imports; down by 16.1 percent from its year ago level of $198.11 million.

Organic and Inorganic Chemicals accounting for a 2.3 percent of the total imports, ranked fifth as foreign bill amounted to $114.88 million or a year-on-year growth of 24.0 percent from $92.67 million in 2006.

Cereals and Cereal Preparations ranked sixth, comprising 2.1 percent of the total imports; registered $103.18 million worth of imports or an increase of 1.2 percent from its year ago level of $101.98 million. 

Rounding up the list of the top imports for August 2007 were Plastics in Primary and Non-Primary Forms, $88.81 million; Textile Yarn, Fabrics, Made-Up Articles and Related Products, $79.56 million; Iron and Steel with $78.62 million worth of imports; andTelecommunication Equipment and Electrical Machinery, $76.97 million.

Aggregate payment for the countrys top ten imports for August 2007 reached $4.155 billion or 83.6 percent of the total import bill.

Figure 2  Philippine Top Imports in August : 2006 and 2007
(F.O.B. Value in Million US Dollar)
  

RAW MATERIALS AND INTERMEDIATE GOODS ACCOUNT FOR 43.4 PERCENT OF THE TOTAL IMPORTS

Accounting for 43.4 percent of the total imports, payments in August 2007 for Raw Materials and Intermediate Goods amounted to $2.156 billion or a 7.7 percent increase over last year's figure of $2.003 billion.  Compared to the previous months level, purchases likewise went up by 4.8 percent from $2.058 billion. Semi-Processed Raw Materials mostly comprise imports of raw materials and intermediate goods.  These are valued at $2.010 billion and recorded a growth of 9.6 percent from $1.835 billion in 2006.

Capital Goods comprised 28.1 percent of the total imports, shrunk by 9.3 percent year-on-year, to $1.396 billion from $1.539 billion. The major share went to Telecommunication Equipment and Electrical Machinery with a 15.9 percent share of the total imports in August 2007 and billed at $790.79 million or a decline of 9.0 percent from $869.10 million in 2006.

Mineral Fuels, Lubricants and Related Materials with a 19.5 percent share increased by 5.9 percent to $970.72 billion from $916.51 million in August 2006.

Purchases of Consumer Goods amounted to $396.36 million, rose by 11.6 percent from $355.16 million in August 2006, while Special Transactions decreased by 25.3 percent to $52.06 million from $69.69 million.

Figure 3  Philippine Imports by Major Type of Goods in August: 2006 and 2007
 

UNITED STATES CORNERS 13.9 PERCENT OF AUGUST 2007 IMPORT BILL   

Despite a decrease of 7.5 percent to $690.46 million from $746.12 million in August 2006,United States of America (USA) is still the top source of imports for August 2007 with a 13.9 percent share of the total import bill.  Exports to USA amounted to $765.82 million, yielding a two-way trade value of $1.456 billion and a trade surplus for RP at $75.36 million.

Japan followed as the second biggest source of imports for August 2007 accounting for an 11.9 percent share of the total import bill, down by 0.8 percent to $592.33 million from $597.11 million during the same month in 2006. Exports to Japan amounted to $623.89 million resulting to a total trade value of $1.216 billion and a trade surplus of $31.56 million.

Singapore came third, with an 11.9 percent share, recording payments worth $590.04 million or a growth of 57.2 percent from $375.35 million in August 2006.  Revenue from RPs exports to Singapore reached $237.95 million, which generated a total trade value of $827.98 million and a $352.09 million trade deficit for the Philippines.

Other major sources of imports for the month of August 2007 were Taiwan, $427.45 million;Saudi Arabia, $396.58 million; Republic of Korea, $322.97 million; People�s Republic of China, $284.16 million; Hong Kong, $190.65 million; Malaysia, $190.46 million; andThailand, $174.47 million.

Payments for imports from the top ten sources for the month amounted to $3.860 billion or 77.6 percent of the total.

Figure 4  Philippine Imports by Country in August: 2007
  

Technical Notes:

1. Adjustments on import statistics are based on the transactions that pass through the Automated Cargo Operating System (ACOS) of the Bureau of Customs (BOC).

2. Starting with the January 2007 Press Release, analysis and tables are based on 2004 Philippine Standard Commodity Classification (PSCC) groupings.  This is in compliance with   NSCB   Resolution No. 03, Series of 2005 entitled Approving and Adopting the 2004 Philippine Standard Commodity Classification by all concerned government agencies and instrumentalities.

Source:   Foreign Trade Statistics Section
               Industry and Trade Statistics Department
               National Statistics Office
               Manila, Philippines