The May trade surplus narrowed to $46mn from a downwardly-revised $236mn. This left the YTD deficit slightly wider at $17.12bn from $17.02bn. Good exports rose 2.8% y/y and imports +4.4% y/y.
- The rise in May exports was driven by dairy products (+21% y/y) and fruit (+8.8% y/y). There were sharp drops in crude and petroleum products. Exports to China rose 18% y/y, to the US +10% but fell 14% y/y to Australia and -11% to the EU.
- Import growth was due to aircraft & parts, machinery & equipment and vehicles. Fertilisers, plastic and iron & steel weighed on imports. Imports of consumer goods continued to ease rising only 0.2% y/y in May, as expenditure slows in the face of rate and cost-of-living pressures.
NZ exports vs imports y/y% 3mma
Source: MNI - Market News/Refinitiv
NZ exports by destination y/y% 3mma
Source: MNI - Market News/Refinitiv
