Indonesia Trade Balance Swings to Deficit in September
Indonesia unexpectedly posted a trade deficit of USD 0.16 billion in September 2019, swinging from a USD 0.35 billion surplus in the same month a year earlier and missing market consensus of a USD 0.10 billion surplus, as exports fell more than imports.
10/15/2019 11:57:44 AM
Exports from Indonesia dropped 5.74 percent from a year earlier to USD 14.10 billion in September 2019, better than market consensus of a 5.84 percent decline and after a 9.99 percent fall in the prior month. It was the eleventh straight month of decrease in exports, as sales of oil and gas plunged by 37.13 percent to USD 0.83 billion and those of non-oil and gas products dropped by 2.70 percent to USD 13.27 billion.
Compared to the previous month, exports dropped 1.29 percent, as sales oil and gas declined 5.17 percent and those of non-oil and gas products decreased 1.03 percent. By categories, outbound shipments decreased for vehicles and parts (-10.32 percent); rubber and rubber goods (-10.63 percent); electric machinery/equipment (-6.53 percent); apparel not knitted (-18.69 percent); and jewelery (-32.60 percent). By contrast, sales increased for ore, crust, and metal ash (193.08 percent); processed foods (72.56 percent); iron and steel products (19.15 percent); ships (453.10 percent), and animal/vegetable fats and oils (11.53 percent).
Sales fell to: Japan (-3.37 percent); the US (-7.09 percent); Malaysia (-5.10 percent); Thailand (-6.60 percent); Germany (-5.01 percent); Australia (-20.36 percent), and South Korea (-1.24 percent). Meanwhile, outbound shipment rose to China (6.01 percent); Italy (12.62 percent); India (6.42 percent); Taiwan (21.87 percent); Singapore (2 percent); and the Netherlands (12.24 percent).
Imports dropped 2.41 percent from a year earlier to USD 14.26 billion in September, after an upwardly revised 15.70 percent plunge in the prior month and missing market consensus of 4.2 percent drop. Purchases of oil and gas tumbled 30.50 percent from a year earlier to USD 1.59 billion while those of non-oil and gas increased 2.82 percent to USD 12.67 billion.
Compared to the prior month, imports rose 0.63 percent, with purchases of non-oil and gas went up 1.02 percent and those of oil and gas decreased by 2.36 percent. Imports declined for raw material (-0.70 percent). Conversely, imports rose for both capital goods (4.80 percent) and consumption goods (3.13 percent). Among major trading partners, imports shrank from: the US (-10.82 percent); Japan (-4.28 percent); Thailand (-2.30 percent); Italy (-35.87 percent); Taiwan (-6.84 percent); Singapore (-0.30 percent); the Netherlands (-10.88 percent); India (-3.43 percent); and Australia (-9.83 percent). Meantime, imports increased from China (3.82 percent); South Korea (13.03 percent); Malaysia (13.26 percent); and Germany (11.35 percent).
Considering the first nine months of the year, the trade deficit narrowed sharply to USD 1.95 billion from USD 3.82 billion in the same period of 2018.