Eurozone trade rates grows in May
The Eurozone seems to have trade boom in May, as both its imports and exports rates with other countries rose and made investors confident in global commerce situation. The European Union, which is treated as the main global trader, demonstrated the trade growth with all of its major partners, including sanctioned Russia.
Eurostat reported on Friday, that the export rate of 19 countries of the EZ rose by 12.9% compared to the previous year and reach the sales volume of 189.6 billion euros ($216.3 billion). Imports of the mentioned formation grew up by 16.4% and reached 168.1 billion euros. However, this information did not include adjustments connected with the seasonal factors.
Both indicators can be treated as the second highest ever-recorded Eurozone trade figures since March peak with more than 200 billion euros as exports and 176 billion euros as imports. The growth of imports had a positive effect on the EZ trade surplus, which marked 21.4 billion euros in May. Last year the rate was 23.4 billion. Commerce inside of 19 countries of the Eurozone also went up by 15.3% and reached the volume of 162.4 billion euros.
According to the information from Eurostat, the European Union, which includes 28 countries, also showed the increase both in exports and imports. They rose by 15.9% and 17.2% respectively. In general, EU had a further expansion of trade with all its main partners during the first half of 2017, while exports to the United States went up by 6.6% compared to the previous year. Exports to China rose by 20.3%, and its imports volumes were increased by 4.0% and 6.8% respectively. The highest recorded increase in trade was reported with Russia, and it overtook Switzerland which is the third main source of imports for the EU.
Despite western economic sanctions imposed after Russia’s annexation of Crimea in 2014, EU exports to Russia grew by 24.6 percent between January and May, driven by manufactured goods and machinery, while imports, composed principally of oil and gas, surged by 37.6 percent. As a result, EU trade deficit with Russia expanded in May to 29.5 billion euros from 18.9 billion a year ago.