Euro-area goods trade swings to a 16.1 billion euro deficit
The euro area recorded a 16.1 billion euro goods trade deficit in August after a July surplus. Imports grew faster than exports over the year, while machinery and vehicles moved into deficit and the energy gap widened. The separate seasonally adjusted balance also turned negative. The first eight months showed a deficit against a year-earlier surplus.
Economics & Markets··Evening
August balance turns negative after July’s surplus
The euro area recorded a goods trade deficit of 16.1 billion euros in August, following a surplus of 10.7 billion euros in July. The first August estimate was released on October 16.[1], [2]
Eurostat, the European Union’s statistics office, put exports to the rest of the world at 227.7 billion euros, up 9.9 per cent annually. Imports rose faster, increasing 16.7 per cent to 243.8 billion euros. The unadjusted deficit had been 1.7 billion euros in August a year earlier.[1]
Machinery and vehicles move into deficit
The machinery and vehicles balance changed from a 7.2 billion euro surplus a year earlier to a 0.7 billion euro deficit. The energy deficit widened from 21.3 billion euros to 26.7 billion euros. Across January–August, the overall euro-area balance was a deficit of 5.4 billion euros, against a surplus of 90.9 billion euros a year earlier.[1]
The European Union as a whole recorded an August deficit of 25.2 billion euros, compared with 7.5 billion euros a year earlier. Its machinery and vehicles surplus of 7.3 billion euros became a 2.5 billion euro deficit, while the energy deficit rose from 24.3 billion euros to 31.4 billion euros.[1]
Seasonally adjusted exports fall while imports rise
In the separate seasonally adjusted series, euro-area exports declined 1.2 per cent from July and imports increased 2 per cent. The adjusted balance shifted from a 1.4 billion euro surplus to a 6.8 billion euro deficit. Over June–August, adjusted exports were 2.5 per cent higher than in the preceding three months, while imports increased 2.1 per cent.[1]
