NEW ZEALAND
March saw NZ post a trade surplus of $588mn after a deficit of $315mn as exports continue to recover while imports are weak. The YTD deficit narrowed to $9.87bn from $12.06bn in February. Exports rose 3.9% y/y while imports shrank 19.8% y/y, with both affected by large movements in volatile components.
- The YTD trade deficit has improved $7.26bn since its peak in May last year.
NZ trade balance YTD $bn
Source: MNI - Market News/Refinitiv
- Exports in March were boosted by crude oil (+266% y/y) which tends to be lumpy. There were also strong rises in fruit and wood shipments with dairy more subdued but still positive. The unit price of dairy exports fell while volumes rose for milk powder but fell for cheese.
- Exports to China fell 1.9% y/y and 3.7% to Australia but rose 8% to the US and 3.6% to Europe.
- Aircraft imports fell 92% and petroleum -31% driving the sharp fall in March imports but some more domestic demand related items, such as vehicles and art, were also weak.
NZ exports vs imports y/y% 3-month ma
Source: MNI - Market News/Refinitiv
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