SINGAPORE: Singapore’s non-oil domestic exports (NODX) declined in the second quarter of 2023, falling by 13.4 per cent, with both electronics and non-electronics seeing a drop.
The drop follows a 16.1 per cent contraction in the first quarter of 2023.
According to data released by Enterprise Singapore (EnterpriseSG) on Friday (Aug 11), electronic product exports contracted by 22.1 per cent in the second quarter of 2023.
This followed a 25.2 per cent decline in the previous quarter.
Integrated circuits (ICs), PCs and parts of PCs contributed the most to the decline, falling by 31.4 per cent, 38.2 per cent and 45.9 per cent respectively.
Domestic exports of non-electronic products exports declined by 10.7 per cent in the second quarter of 2023, after a 13.6 per cent contraction in the previous quarter.
The biggest falls were in the petrochemicals, primary chemicals and specialised machinery sectors, falling by 30.1 per cent, 54.1 per cent and 10.7 per cent respectively.
“NODX to the top markets as a whole declined in 2Q 2023, mainly due to declines to Malaysia, Taiwan and Indonesia,” said EnterpriseSG.
The largest contributors to the decline in NODX were key markets Malaysia (-30.6 per cent), Taiwan (-21.2 per cent) and Indonesia (-28.7 per cent).
On a year-on-year basis, total merchandise trade and NODX continued to fall in the second quarter of 2023.
“NODX fell by double-digit percentage year-on-year for the third quarter straight; electronics, in particular declined year-on-year for the fourth consecutive quarter amid the downturn in the global electronics sector,” said EnterpriseSG.
“Oil trade fell by 30.9 per cent in 2Q 2023 due to lower prices year-on-year, accounting for one-third of total trade’s decline, in contrast to oil trade’s flat growth (0.0 per cent) in 1Q 2023.”
It added that the external demand outlook for the rest of 2023 remains weak.
Most of Singapore’s key trade partners, are also expected to grow at a slower pace in 2023, except China and Japan.
EnterpriseSG said: “The 2023 growth projection for total merchandise trade is downgraded to ‘-10.0 per cent to -9.0 per cent’, while the 2023 growth projection for NODX is narrowed to ‘-10.0 per cent to -9.0 per cent’.”
On a year-on-year basis, total services trade declined by 1.9 per cent in the second quarter of 2023. This came after a 1.9 per cent increase in the previous quarter.
Services exports and imports fell, by 2.5 per cent and 1.1 per cent respectively.