UK Trade Dedicit Narrows in August


The UK trade deficit narrowed to GBP 1.55 billion in August 2019 from a revised GBP 1.68 billion in the previous month.

Exports of goods and services from the UK increased 0.9 percent from a month earlier to GBP 55.49 billion in August, following a 3.0 percent jump in July. Exports of services rose 2.6 percent, while sales of goods fell 0.5 percent, dragged by fuels (-15.4 percent), chemicals (-8.9 percent) and crude materials (-1.9 percent). Meanwhile, increases were seen in exports of food (4.6 percent), machinery & transport equipment (2.3 percent), material manufactures (5.0 percent) and miscellaneous manufactures (5.5 percent).

Among major trading partners, goods exports to the EU dropped 2.1 percent, in particular to Germany (-1.8 percent), Ireland (-1.4 percent), Italy (-5 percent) and Poland (-4.8 percent). By contrast, sales rose to France (0.6 percent), the Netherlands (4 percent), Belgium (9.7 percent), Spain (0.7 percent), Sweden (32 percent) and Denmark (1.5 percent). Exports to non-EU countries went up 0.9 percent, mostly to China (13.1 percent), Switzerland (35.4 percent), Hong Kong (12 percent), Singapore (5.9 percent) and Canada (23.2 percent). On the other hand, decreases were seen in exports to the US (-4 percent), Japan (-17.2 percent), the UAE (-4.8 percent), India (-1.3 percent) and Australia (-3.4 percent).

Imports to the UK advanced 0.6 percent from a month earlier to GBP 57.04 billion, following a 3.5 percent surge in July, mainly boosted by a 2 percent climb in services imports. Meanwhile, goods purchases edged up 0.1 percent, as an increase in purchases of food (3.5 percent) and machinery & transport equipment (4.1 percent) offset a decline in fuels (-10.2 percent), chemicals (-4 percent), material manufactures (-1.2 percent) and miscellaneous manufactures (-0.5 percent).

Among major trading partners, imports of goods from the EU advanced 1 percent, boosted by increases in purchases from Germany (2.2 percent), France (8.6 percent), Belgium (5.5 percent), Italy (0.1 percent), Spain (2.8 percent), Ireland (4.5 percent), Poland (1.8 percent) and Denmark (6.3 percent). Imports from the Netherlands and Sweden declined 3.9 percent and 9.7 percent respectively. Meanwhile, purchases from non-EU countries slumped 1 percent, due to purchases from China (-4.1 percent), Norway (-3.9 percent), Japan (-6.6 percent), Turkey (-15.8 percent) and India (-23.7 percent). Still, imports grew from the US (0.6 percent), Russia (3.3 percent), Hong Kong (1.1 percent), Vietnam (18 percent) and Switzerland (14.9 percent).

UK Trade Dedicit Narrows in August


ONS | Joana Ferreira | joana.ferreira@tradingeconomics.com
10/10/2019 9:38:39 AM