Foreign trade in surplus in July: energy imports down

Foreign trade in surplus in July energy imports down

(Finance) – Trade balance in surplus for Italy in July 2023. According to Istat data, the trade balance in July 2023 was in surplus of 6.375 billion euros (it was -460 million in July 2022). The energy deficit (-4,821 million) results in sharp decline compared to the previous year (-11,412 million), while the surplus in the trade of non-energy products increased from 10,951 million in July 2022 to 11,196 million in July 2023.

You register one cyclical downturn for both flows trade with foreign countries, more intense for imports (-4.7%) that for exports (-1.8%). The reduction in exports on a monthly basis is due to the decline in sales to both areas, the EU (-1.5%) and non-EU (-2.2%).

Every year, you register a decline in exports by 7.7% in monetary terms (it was +1% in the previous two months) and 11.6% in volume. The contraction in exports in value concerns both the EU area (-8.7%) and the non-EU area (-6.7%). The import rrecords a decline by 19.4% in value – much larger for the non-EU area (-31.8%) compared to the EU area (-5.7%) -, while in volume it shows a more limited decline (-3.7%).

Among the sectors that contribute most to the trend reduction in exports are: coke and refined petroleum products (-60.2%), pharmaceutical, chemical-medical and botanical itemsi (-23.0%), metals and metal products (-13.9%), chemical products (-15.0%), means of transport, excluding motor vehicles (-10.7%). They grow on an annual basis exports of motor vehicles (+31.1%) e machinery and appliances not classified elsewhere (nec) (+5.8%).

On an annual basis, the countries making the greatest contributions to the decline in exports are: Belgium (-52.3%), United States (-14.0%%), Germany (-5.8%) e China (-14.5%). They grow exports to countries OPEC (+20.1%) e Türkiye (+11.3%).

In the May-July quarter 2023, compared to the previous one, exports are reduced by 2.5% and imports by 4.1%; in the first seven months of 2023export records a trend growth of 2.3%, contributed in particular by the greater sales of nec machinery and equipment (+11.2%), motor vehicles (+26.6%), food, beverage and tobacco products and pharmaceutical, chemical-medical and botanical items (for both +7, 8%).

Istat also reports that, in July, i import prices decrease by 0.4% on a monthly basis and 11.4% year-on-year (from -9.9% in June).