EXTERNAL TRADE PERFORMANCE

SEPTEMBER 2014

(Preliminary)

p-preliminary, r-revised

IMPORTS DECLINED BY 2.6 PERCENT IN SEPTEMBER 2014

The country’s total imported goods for September 2014 amounted to $5.568 billion, a decrease of 2.6 percent from $5.719 billion recorded during the same period a year ago. The decrease in total imports for this period was due to the negative performance of three out of the top ten major commodities for the month.  These were: transport equipment; electronic products; and other food and live animals.

Cumulative imports for the nine month period of 2014 amounted to $48.134 billion and showing a 3.4 percent increase compared with $46.529 billion in the same period of last year.

In September of 2014, favorable balance of trade in goods (BOT-G) was experienced by the Philippines with a surplus of $281 million compared to the $663 million deficit in the same period of last year. 

ELECTRONIC PRODUCTS ACCOUNTS FOR 24.6 PERCENT OF IMPORT BILL

Imports of Electronic Products were the top imported commodity in September 2014 with 24.6 percent share and reported value of $1.369 billion in September 2014.  However, it went down by 22.0 percent from $1.756 billion in September 2013.  Among the major groups of electronic products, Components/Devices (Semiconductors), although having the biggest share of 19.4 percent, decreased by 27.3 percent from $1.482 billion in September 2013 compared to $1.078 billion in September 2014.

Inbound shipments of Mineral Fuels, Lubricants and Related Materials ranked second, accounting for 23.4 percent of the aggregate import bill and value amounting to $1.303 billion.  It increased by 33.3 percent over last year's figure of $978.06 million. 

Transport Equipment placed third with 7.1 percent share to total imports valued at $393.97 million.  It decelerated by 43.1 percent from previous year’s level of $692.97 million. 

Industrial Machinery and Equipment, contributing 5.0 percent to the total import bill was the country’s fourth top import for the month amounting to $277.55 million.  It rose by 4.8 percent compared to last year’s value of $264.77 million.

Fifth in rank was Cereals and Cereal Preparations, with 3.5 percent share to the total imports or $195.91 million worth of imports.  It registered the highest year-on-year change among the top ten commodities with 52.7 percent increase from its year ago level of $128.27 million.

Rounding up the list of the top ten imports for September 2014 were:  Plastics in Primary and Non-Primary Forms valued at $163.94 million; Other Food and Live Animals, $158.40 million; Miscellaneous Manufactured Articles, $155.69 million; Organic and Inorganic Chemicals amounting to $129.09 million; and Iron and Steel, $128.43 million. 

 Aggregate   payment   for   the   country’s   top   ten   imports  for September 2014 reached $4.276 billion or 76.8 percent of the total import bill.

RAW MATERIALS AND INTERMEDIATE GOODS ACCOUNTS FOR 38.3 PERCENT OF THE TOTAL IMPORTS

Payment for purchases of Raw Materials and Intermediate Goods in September 2014 was valued at $2.131 billion and accounted for 38.3 percent of the total imports.  It decreased by 11.0 percent over last year's figure of $2.395 billion.  Semi-Processed Raw Materials had the biggest share of 34.2 percent valued at $1.906 billion. 

Mineral Fuels, Lubricants and Related Materials with 23.4 percent share to total imports, increased by 33.3 percent to $1.303 billion in September 2014 from $978.06 million in September 2013.  Other mineral fuel and lubricants such as gas oils, aviation spirit, and motor spirit (regular and premium unleaded) contributed the biggest share of imports in this commodity group.

Payment for imports of Capital Goods accounting for 23.4 percent of the total imports was valued at $1.300 billion in September 2014.  It declined by 20.7 percent from $1.640 billion recorded value in September 2013. 

Purchases of Consumer Goods recorded 14.0 percent share with a total import bill valued at $779.60 million in September 2014.  It increased by 17.3 percent from $664.36 million registered in September 2013.  

Special Transactions expanded by 28.5 percent to $53.43 million from $41.59 million in September 2014. 

IMPORTS FROM PEOPLE’S REPUBLIC OF CHINA ACCOUNTS FOR 14.0 PERCENT

People’s Republic of China remained as the country’s biggest source of imports with 14.0 percent share in September 2014.  Payments were recorded at $781.01 million, an increase of 18.5 percent from $658.96 million in September 2013.   Revenue from country’s exports to China, on the other hand, reached $612.79 million, generating a total trade value of $1.394 billion and $168.22 million trade deficit.

Taiwan came second, contributing 8.8 percent of the total import bill in September 2014, with import value of $489.56 million.  It increased by 7.2 percent from its September 2013 value of $456.64 million.  Export receipts from Taiwan in September 2014 reached $180.67 million yielding a total trade value of $670.24 million and a trade deficit of $308.89 million.

United States of America (USA) including Alaska and Hawaii was the third biggest source of imports for September 2014 with 8.6 percent share to the total import bill amounting to $476.26 million and decreased by 29.3 percent from $673.94 million in September 2013.  Exports to USA amounted to $793.61 million, yielding a two-way trade value of $1.270 billion and a trade surplus of $317.35 million.

Japan including Okinawa ranked fourth, accounting for 7.7 percent share of the total import bill in September 2014 with a negative growth of 5.8 percent from $455.32 million to $428.93 million in September 2014.  Exports to this country amounted to $1.734 billion resulting to a total trade value of $2.163 billion and a trade surplus of $1.305 billion.

Fifth in rank was Republic of Korea accounting for 7.6 percent share of the total import bill worth $424.21 million in September 2014 and increased by 23.4 percent from $343.79 million in September 2013.  Exports to Republic of Korea amounted to $223.23 million resulting to a total trade value of $647.44 million and a trade deficit of $200.99 million.

Other major sources of imports for the month of September 2014 were: Singapore, $365.17 million;     Thailand,      $349.81 million;      Indonesia,      $295.73 million;    Malaysia including Sabah and Sarawak, $257.40 million; and Germany, $230.72 million.

The combined payments for imports from the top ten sources for September 2014 amounted to $4.099 billion or 73.6 percent of the total.

IMPORTED GOODS FROM EAST ASIA ACCOUNTS FOR 40.1 PERCENT

By economic bloc, East Asia (China, Hong Kong, Japan, Macau, Mongolia, North Korea, South Korea and Taiwan) was the biggest source of the country’s imports in September 2014 as it accounted for 40.1 percent of the total imports valued at $2.232 billion.  It increased by 10.3 percent from $2.025 billion in September 2013.  Total exports to member countries of East Asia amounted to $3.294 billion resulting to a total trade of $5.527 billion and a trade surplus of $1.062 billion.

Merchandise imported from ASEAN member countries were valued at $1.367 billion, contributing 24.6 percent share and increased by 7.2 percent from $1.276 billion recorded in September 2013.   Proceeds    from    exports    to    ASEAN    member    countries    were    worth $813.96 million, resulting to a total trade of $2.181 billion and a trade deficit of $553.35 million.

Imports from European Union were valued at $606.98 million.  It decreased by 28.2 percent compared to a year ago value of $845.93 million.  Exports to member countries of European Union were worth $605.99 million, resulting to a total trade of $1.213 billion and a trade deficit $0.99 million.

Technical Notes:

1. Adjustments on electronic import statistics are based on the transactions that pass through the Electronic to Mobile (e2m) of the Bureau of Customs (BOC).

2. Starting with the 2007 Press Release, analysis and tables are based on the 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.

(Sgd.) LINA V. CASTRO