NODX dropped 8.1% YoY in September

Electronic exports crashed 24.8% YoY.

Singapore’s non-oil direct exports (NODX) declined for the seventh consecutive month by 8.1% YoY in September amidst a slow global demand and trade war tensions.

Electronic exports shrank for the 10th straight month by 24.8% YoY, along with the top 10 NODX markets except for Indonesia and South Korea. Integrated circuits, personal computers and disk media all contributed to the slump.

Non-electronic exports also contracted by 2.3% YoY in 9M 2019. Pharmaceuticals (-26.7% YoY), petrochemicals (-10.6% YoY) and jewellery (-52% YoY) all suffered downturns. However, non-electric exports to North Asia soared, particularly to Taiwan (+52.5% YoY), China (+38% YoY) and Hong Kong (+20.8% YoY).

Eight of the top 10 NODX markets also contracted in September, led by Japan (-19.2% YoY), the European Union (-17.3% YoY) and Hong Kong (-11.9% YoY). On the other hand, China ballooned by +20.8% YoY, but economic indicators are pointing to a further deceleration.Taiwan (+2.3% YoY) enjoyed a modest expansion.

The Lion City remains a leader for global trade. However, OCBC stays bleak for Q4 2019 GDP growth, noting that full-year growth may come at the lower end of the 0-1% forecast.