SINGAPORE- Singapore's key exports saw slower growth last month as shipments of non-electronic products slowed.
Non-oil domestic exports (Nodx) expanded 7 per cent year on year in July, with June's growth revised down to 8.5 per cent from 9 per cent previously, according to data released by Enterprise Singapore (EnterpriseSG) on Thursday (Aug 17).
Still, July's Nodx increase beat the 6.4 per cent rise forecast by analysts in a Bloomberg poll. It also marked the 20th straight month of year-on-year Nodx growth.
Electronic shipments rose by 10.3 per cent year on year in July, faster than the 4.1 per cent growth in the previous month. Shipments of integrated circuits (ICs), parts of ICs and disk drives increased by 18.5 per cent, 83.2 per cent, and 110.2 per cent respectively, contributing the most to the growth.
Non-electronic shipments grew 6.1 per cent year on year, less than the 10 per cent rise in June. Specialised machinery, which grew 12. 2 per cent, as well as pharmaceuticals and structures of ships & boats contributed the most to the growth.
Nodx to the top 10 markets rose as a whole in July, although shipments to China, Japan, Hong Kong and Thailand declined.
Total trade also grew over the year in July as both exports and imports rose, Enterprise SG said.
It expanded at 31 per cent in July, following the 30.8 per cent growth from the previous month.
Enterprise Singapore raised its 2022 trade forecasts last week on the back of a better-than-expected performance in the first half of the year. It now expects Nodx to grow by 5 per cent to 6 per cent this year, from the previous forecast of 3 per cent to 5 per cent. Total merchandise trade is seen expanding 15 per cent to 16 per cent, up from 8 per cent to 10 per cent.
However, those forecasts are for nominal exports, which have been buttressed by rising prices.
Analysts believe that real exports, after stripping out the impact of inflation, have been shrinking through at least the second quarter.
