Turkey’s exports declined for the second straight month in October, falling 4.6% y/y to $11.7bn, data from the Exporters’ Assembly (TIM) showed on November 1. According to data from statistics office TUIK, exports dropped 5.6% y/y in September.
Investors closely watch the export data because of its key role in plugging both the foreign trade deficit and the large current account deficit. Figures from TUIK showed earlier this week that the country’s foreign trade deficit widened 14% y/y to $4.4bn in September as exports resumed decline. The government forecasts a foreign trade deficit of $54.9bn for this year, down from $63.4bn in 2015. Exports are expected to decline slightly to $143.1bn this year from $143.8bn in 2015, according to the revised medium-term programme.
Across the first 10 months of 2016, exports fell 2.9% y/y to $107bn, TIM also said.
Automotive exports increased by 8.2% y/y to $2.2bn in October, but textile shipments were down 9.9% y/y to $1.4bn. Steel exports were unchanged at $767mn.
Turkey’s exports to the EU, the country’s largest trading partner, declined by 4.7% y/y to $5.8bn in October. Despite diplomatic efforts to mend ties between with Moscow, exports to Russia are still struggling: goods shipments to Russia that were down 48.8% y/y in September fell by another 49.6% y/y in October to $180mn.
|(USD thousand)||Oct-15||Oct-16||y/y, %||share, %||Jan-Oct/15||Jan-Oct/16||y/y, %||share, %|
|Ready wear & confection||1,588,786||1,431,376||-10%||12%||14,162,233||14,326,823||1%||13%|