Exports grow by 4.9% to August and deficit shrinks by 2.5%

In turn, imports grew by 4.2% year-on-year to 180.91 billion euros. However, in terms of volume, imports growth stood at higher, at 6.2% year-on-year, due to a 1.9% decrease in import prices measured using UVIs.

As a result, the trade deficit from January to August amounted to 16.07 billion euros, up 2.5% on the figure posted in the same period of 2014. The coverage rate stood at 91.1%, i.e. 0.6 points higher than in the period January-August of 2014 (90.5%). The non-energy balance posted a surplus of 2.74 billion euros (10.38 billion euros in the period January-August of 2014), while the energy balance improved by 30% (energy deficit reduction) due to a substantial fall in energy prices.

When compared with our main trade partners, trends in Spanish exports in 2015 to date are in line with those of France, Italy and the Eurozone, with increases of 4.8%. The results for the EU-28 as a whole are higher, with an increase of 5.5% year-on-year. Germany also posted a higher result, up 6.6% year-on-year. The negative results from the United Kingdom are worth highlighting, with a decrease of 0.7% year-on-year. Beyond the EU, Japan posted significant export growth of 7.3% year-on-year and the United States posted a decrease of 6.3% year-on-year.

Economic sectors

In the first eight months of 2015, exports performed positively in almost all productive sectors, with the exception of energy products (down 25.6% year-on-year) and other goods (down 1.9% year-on-year) as a result of falling energy prices. In contrast, exports under the main headings grew considerably in this period. Capital goods (19.9% of the total) grew by 3.9% year-on-year, with growth under the headings of industrial machinery (up 6.1%), office and telecommunications equipment (up 10.8%) and other capital goods (up 9.6%). The automotive sector (16.5% of the total) maintained its significant growth over these last eight months, at 19.2% year-on-year. The food, beverage and tobacco sector (16.3% of the total) and the chemical products sector (14.7% of the total) also saw export growth of 9.5% and 7%, respectively.

As a result, the main positive contributions to export growth in the period came from the automotive sector (contribution of 2.8 percentage points); food, beverage and tobacco (1.5 points); chemical products (1 point); and manufactured consumer goods (0.9 points); while the only negative contributions came from the energy products sector (contribution of -1.9 points) and other goods (-0.9 points).

By subsectors, the main positive contributions were made by motor vehicles and motorcycles (2.4 points, mainly due to the higher sales to France, the United Kingdom, Germany and Turkey); fruits, vegetables and legumes (0.9 points, to Germany, France, the United Kingdom and Italy); clothing (0.4 points, to Italy, Poland, China and Saudi Arabia); and automotive components (0.4 points, to Romania, Germany, the United Kingdom and Morocco).

In contrast, the main negative contributions to export results were made by the subsectors of oil and oil derivatives (-1.3 points, to Gibraltar, Morocco, the United States and France); gas (-0.7 points, to Japan, Brazil, Argentina and South Korea); road haulage equipment (-0.5 points, mainly due to lower sales to France and, to a lesser degree, Australia, Belgium and Germany); and animals and vegetables (-0.1 points, to Italy, the Netherlands, Portugal and Turkey).

In terms of imports, the 17.8% growth in capital goods imports (19.5% of the total) can be explained by the consolidation of the Spanish economic recovery and, in particular, the growth in gross fixed capital formation. The recovery in consumption partly explains the 18.6% growth in imports in the automotive sector, as well as imports in the manufactured consumer goods sector (up 14.9%) and the durable consumer goods sector (up 13.8%).

Hence, the main positive contributions in the period January-August 2015 came from the capital goods sector (contribution of 3.1 points), the automotive sector (2.1 points), chemical products (1.7 points) and manufactured consumer goods (1.6 points). The only negative contribution per sector in this period came from the energy products sector (contribution of -6.3 points).

By subsectors, the main positive contributions were made by motor vehicles and motorcycles (1.4 points, mainly due to the higher imports from Germany, the United Kingdom, Japan and France); medicines (0.9 points, mainly due to the United States and, to a lesser extent, Ireland and Germany); automotive components (0.7 points, to Germany, Hungary and South Korea); and clothing (0.7 points, to China and Bangladesh).

In contrast, the main negative contributions were made by the subsectors of oil and oil derivatives (-5.4 points, due to fewer imports from Russia, Nigeria, Saudi Arabia and Mexico); gas (-1.1 points, especially due to fewer imports from Algeria and, to a lesser extent, Norway); and dairy produce and eggs (-0.1 points, to France).

Geographic areas

The consolidation of economic recovery in the EU-28 explains why exports to this region (64.3% of the total) rose by 6.2% in January-August 2015 when compared with the same period last year. 5.5% growth was recorded by Spanish exports to the Eurozone (50.2% of the total). Exports to non-EU destinations rose in this period by 2.6% year-on-year and now account for 35.7% of the total, with noteworthy growth in exports to America (up 11.8%), Asia (up 7.8%) and Oceania (up 15.5%). Within these regions, it is worth noting the increased exports to markets of great potential, such as the United States (up 13.4%), China (up 7.8%), Mexico (up 22.4%) and Saudi Arabia (up 43.8%).

Significantly negative results were posted in this period by exports to Russia (down 36.8%) and Algeria (down 14.1%).
Hence, the countries with the largest positive contribution to the year-on-year export trend in January-August 2015 (4.9%) were Germany (0.8 points, due to higher sales of motor vehicles and motorcycles and fruits, vegetables and legumes); Italy (0.6 points, due to greater exports of motor vehicles and motorcycles and fruits, vegetables and legumes); France (0.6 points, due to an increase in exports of motor vehicles and motorcycles, fruits, vegetables and legumes, and aircraft); and the United States (0.6 points, as a result of greater exports of motor vehicles and motorcycles and non-ferrous metals).

In contrast, the largest negative contributions came from Russia (-0.4 points, due to fewer exports of fruits, vegetables and legumes and, to a lesser extent, medicines, ceramic and similar products and motor vehicles and motorcycles); Algeria (-0..2 points, due to falling exports of motor vehicles and motorcycles and, to a lesser extent, iron and steel, road haulage equipment and other goods); Gibraltar (-0.2 points, due to falling exports of oil and oil derivatives); and Taiwan (-0.1 points, mainly due to fewer exports of oil and oil derivatives and, to a lesser extent, gas).

August 2015

Spanish goods exports in August fell by 0.8% year-on-year to 16.21 billion euros. The decrease was slightly higher in terms of volume, down 1.4% year-on-year, since prices measured using Unit Value Indices rose by 0.6%.

Imports amounted to 19.4 billion euros in August, up 1.5% on August 2014. However, the increase was significantly higher in terms of volume, up 5.2% year-on-year, since import prices measured using unit value indices fell by 3.5% year-on-year.

Therefore, the trade balance posted in August 2015 showed a deficit of 3.19 billion euros, 15.2% higher than in the same month of 2014 (deficit of 2.77 billion euros). The coverage rate stood at 83.5%, 2 points less than in August 2014 (85.5%). The non-energy balance posted a deficit of 755.1 million euros (541.3 million euros in August 2014), while the energy deficit fell by 26.4% due to lower energy prices.

The results posted by our main EU partners were higher in August, as the year-on-year rate posted by the EU-28 stood at 5.5% and by the Eurozone at 3.8%. Higher exports were also posted by Germany (5% year-on-year), France (6% year-on-year), Italy (1% year-on-year) and, above all, the United Kingdom (10.8% year-on-year). Beyond the EU, export growth was posted by Japan (up 3.1% year-on-year), while exports from the United States fell (down 10.4% year-on-year).

Economic sectors

In August, growth was posted by almost all export sectors, with the exception of energy products (down 35.3%), raw materials (down 22.8%), chemical products (down 0.7%) and other goods (down 25.9%). Hence, these sectors made a significantly negative contribution in August 2015; specifically, the energy products sector (contribution of -3.6 points), other goods (contribution of -1.5 points), raw materials (contribution of -0.6 points) and chemical products (contribution of -0.4 points). In contrast, the sectors making the largest positive contributions were those of capital goods (contribution of 2.4 percentage points), the automotive sector (contribution of 1.6 points) and food, beverage and tobacco (contribution of 1.4 points).

By subsector, the main positive contributions to year-on-year export trends in August came from specific machinery (1.3 points), motor vehicles and motorcycles (1.2 points), fruit, vegetables and legumes (1 point) and engines (0.6 points). On the other hand, the main negative contributions came from the subsectors of oil and oil derivatives (-3.3 points), aircraft (-1.3 points), medicines (-0.4 points) and gas (-0.4 points).

Geographic areas

In August 2015, the percentage of all exports sold to the European Union stood at 61.6%, below the 62.6% recorded in August of the previous year. This reduction is due to a lower percentage being sold to the Eurozone, which fell to 47% in August 2015 (48.3% in August 2014), as the percentage sold to the rest of the European Union rose to 14.6% in August 2015 (14.3% in August 2014). Exports to the European Union fell by 2.4% year-on-year and to the Eurozone by 3.6%, while those to the rest of the European Union rose by 1.4%.

Exports to countries not belonging to the European Union accounted for 38.4% of the total (37.4% in August 2014) and rose by 1.9% on the same month last year.

The destination countries with the greatest positive contribution to year-on-year Spanish export trends in August 2015 were the United States (0.7 points), Germany (0.7 points), Saudi Arabia (0.5 points) and the Netherlands (0.4 points). In contrast, the largest negative contributions came from exports to France (-1.4 points), South Korea (-0.8 points), Portugal (-0.6 points) and Italy (-0.5 points).

Spain's trade surplus with the European Union stood at 217.1 million euros in August 2015. With the Eurozone, the trade balance posted a surplus of 11.3 million euros. In turn, the trade deficit with non-EU countries fell by 13.2% on August 2014 to 3.41 billion euros (deficit of 3.93 billion euros in August 2014).