The Philippines’ trade deficit widened in May to USD4.6 billion from USD4.4 billion in the year-earlier period as the decline in exports, led by lower sales of electronic products, was magnified by a margin decline in imports.
Data from the Philippine Statistics Authority released Wednesday showed total exports in May declined 3.1 percent year-on-year to USD6.33 billion while imports during the month was down 0.03 percent to USD10.93 billion. Exports in April were up 28 percent on-year while imports rose 13 percent.
The decline in May exports was led by electronic products, whose total sales for the month contracted to USD3.56 billion from USD3.75 billion in the year-earlier period. Other significant decreases were observed in other mineral products and ignition wiring and other wiring sets for vehicles, aircraft, and ships.
Total export between January and May was valued at USD 30.84 billion, up 7.8 percent from USD28.61 billion in the same period in 2023.
The US remained the main export market for the Philippines, shipments valued at USD1.08 billion, comprising 17.0 percent of the total exports for May. The top five export destinations included Hong Kong at USD904.79 million; Japan at USD882.70 million; the People’s Republic of China at USD847.12 million; and Thailand at USD 267.14 million.
In May 2024, the Philippines recorded notable annual decreases in the value of imported goods across various commodity groups. Transport equipment saw the highest annual decrement, declining by USD 348.54 million. Following this, other food and live animals decreased by USD 62.73 million, and electronic products saw an annual decline of USD 54.87 million.
January-May imports this year amounted to USD51.43 billion, a decrease of 1.7 percent compared to USD52.29 billion in the same period in 2023.
Among the commodity groups, electronic products remained the top import category in May, totaling USD2.15 billion, which constituted 19.7 percent of the country’s total imports. The other major imports are mineral fuels, lubricants, and related materials, and transport equipment.
China was the largest supplier of imported goods in May, accounting for USD2.73 billion or a quarter of total imports for the month.
The other sources of imports were South Korea, valued at USD989.60 million; Indonesia, worth USD972.15 million; US at USD748.19 million; and Thailand at USD 707.44 million.
