Media Release
6 October 2009
Improved trade deficit reflects lower imports and increased exports of manufactured goods and services
Australia recorded a trade deficit of $1.5 billion in August 2009, a decrease of $259 million on the revised July trade deficit of $1.8 billion.
The reduction in the August deficit reflects a decline in imports of goods and services for the month, with imports of consumption, intermediate and other merchandise goods all declining.
“Encouragingly, the export of manufactured goods increased by 2.8 per cent to $3.2 billion, which is a positive development given the challenges arising from an appreciating dollar”, Mr Crean said.
Services exports also continued their recent improvement, rising by 0.6 per cent to $4.5 billion in August. Over the past 5 years, Australia’s services exports have recorded an average growth rate of 7.8 per cent.
“Recovery in global services trade will be an important contributor to the broader economic recovery and this will be a key focus of a Global Services Summit that I will be attending in Washington next week”, said Mr Crean.
Notwithstanding the global economic recession and eight of Australia’s top ten trading partners being in recession, Australia’s export volumes continue to hold up well particularly to North East Asia – Australia’s fastest growing markets for merchandise exports.
In the 12 months to August 2009, Australia’s exports to China (up 37 per cent), Korea (up 28.7 per cent) and to Japan (up 28.6 per cent) all increased significantly.
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