Ukraine goods trade deficit shrinks to USD 0.9 bln in November

Ukraine’s goods trade deficit shrank to USD 0.9 bln in
November from USD 1.3 bln in the prior month, the State Statistics Service said
in its preliminary report published on Jan. 14. The seasonally adjusted goods
trade deficit narrowed to USD 0.75 bln from a USD 0.87 bln deficit in October,
amid a 5.3% m/m decline in adjusted imports and 3.7% m/m fall in adjusted
exports.

 

In November, goods exports declined 2.8% yoy to USD
4.3 bln (vs. a 7.3% yoy increase in October). In particular, exports of ferrous
metals dropped 13.9% yoy (vs. a 8.7% yoy decline in October). Exports of
mineral products plummeted 18.2% yoy (vs. a 11.7% yoy decline in October). In
addition, grain export slid 3.8% yoy (vs. 19.9% yoy growth in October).

 

Goods imports decreased 1.8% yoy to USD 5.2 bln in
November (vs. 2.3% yoy growth in October). In particular, the decline in
imports of energy products deepened to 25.0% yoy (vs. a 12.0% yoy drop in
October). Growth in machinery imports slowed to 3.4% yoy in November (from 9.1%
yoy growth  in October). Meanwhile, imports of road vehicles and aircraft
rose 34.2% yoy (vs. 27.8% yoy in September).

 

In 11M19, the merchandise trade deficit reached USD
8.5 bln, swelling 5.7% yoy. Goods exports advanced 6.3% yoy to USD 46.0 bln.
Meanwhile, goods imports rose 6.2% yoy to USD 55.3 bln.

 

Exports to the EU increased 4.4% yoy in 11M19, while
EU imports advanced 7.5% yoy. The share of the EU in Ukraine’s exports and
imports amounted to 41.8% and 41.1%, respectively.

 

Evgeniya Akhtyrko: We were
right in our estimate of the goods trade deficit in November.
Ukraine’s external trade shank significantly amid both exports and imports
switching from growth to decline.

 

Exports of ferrous metals continued to decline due to
an  unfavorable price situation at the global markets. In addition, grain exports
dropped due to a high comparative base from the previous year.

 

Merchandise imports decreased amid a further decline
in the value of imported energy products.

 

The provisional customs statistics released this
month promise that December’s goods trade deficit will stay at around USD 0.9
bln. With this result, the goods trade deficit in 2019 will amount to USD 10.4
bln (vs. USD 9.9 bln in 2018).