UK Trade Deficit Widens in August


The trade gap in the United Kingdom widened by GBP 2.5 billion to GBP 4.7 billion in August from July of 2016. Imports jumped 5.5 percent boosted by electrical machinery and aircraft while exports edged up a meager 0.1 percent.

Total exports rose slightly to GBP 45.1 billion and total imports increased to GBP 49.8 billion.

Considering only goods, the trade deficit was GBP 12.1 billion in August, widening by GBP 2.6 billion from July.

Exports of goods increased 0.2 percent or GBP 0.1 billion. Sales to EU countries decreased by 0.6 percent or GBP 0.1 billion, mainly reflecting lower exports of oil (GBP 0.4 billion) and jewellery (GBP 0.2 billion). These falls were offset by an increase in machinery (GBP 0.2 billion) and cars and chemicals (GBP 0.1 billion each). Shipments of goods to countries outside the EU went up by GBP 0.1 billion, reflecting a rise in aircraft (GBP 0.3 billion), oil (GBP 0.2 billion) and material manufactures (GBP 0.2 billion). These rises were offset by a decrease in ships (GBP 0.3 billion) and road vehicles (GBP 0.2 billion). 

Imports of goods  went up 7.5 percent or GBP 2.7 billion. Imports of electrical machinery increased by GBP 0.7 billion and imports of aircraft rose GBP 0.5 billion. There were smaller increases in imports of cars (GBP 0.4 billion) and mechanical machinery and chemicals of GBP 0.3 billion each. 

Imports of goods from EU countries increased by GBP 1.0 billion to GBP 20.8 billion, boosted by rises in cars (GBP 0.4 billion), machinery (GBP 0.3 billion) and chemicals (GBP 0.2 billion). Imports of goods from countries outside the EU increased by GBP 1.7 billion, reflecting rises in machinery (GBP 0.7 billion) and aircraft (GBP 0.5 billion). 

Between the 3 months to May 2016 and the 3 months to August 2016, the total trade deficit for goods and services widened by GBP 3.6 billion to GBP 12.6 billion. 


UK Trade Deficit Widens in August


ONS | Joana Taborda | joana.taborda@tradingeconomics.com
10/7/2016 9:08:30 AM