External Trade of the Czech Republic
Commentary | Contents |
External trade in March 2005
According to preliminary data, exports and imports seasonally adjusted fell by 2.9% and 3.5% month-on-month, respectively. The trend component went down by 1.7% in exports and 1.9% in imports (Table 6, Graphs 1 and 2). The growth rate of the trend of both exports and imports has been decreasing since October 2004.
In terms of year-on-year comparison, current price exports rose by 6.0 % while imports fell by 0.5 % (Graphs 3 and 4). This is the lowest growth since January 2004. Values of exports and imports started to grow markedly in March 2004.
External trade grew faster both in terms of US dollars (exports +26.3% and imports +18.5%) and in terms of euros (exports +17.4% and imports +10.2%) than external trade valued in Czech korunas. Thus the appreciation of the Czech koruna affected results of external trade considerably.
The trade balance ended in a surplus of CZK 6.0 billion, which was by CZK 9.3 billion more than in March 2004. This is the best monthly balance since March 1993. Trade balance with the EU member states reached a surplus of CZK 23.1 billion, trade balance with non-EU states ended in a deficit of CZK 17.1 billion. Balance improved in trade in ’machinery and transport equipment’ (surplus rose by CZK 7.8 billion), ‘chemicals and related products’ (deficit decreased by CZK 2.7 billion) and ‘manufactured goods classified chiefly by material’ (surplus rose by CZK 2.3 billion). Deficit of trade in ’mineral fuels, lubricants and related materials’ worsened by CZK 2.2 billion.
Exports of ’machinery and transport equipment’ were higher by 3.0%; a considerable growth was reported only for exports of telecommunications and sound-recording equipment (+15.4%) and road vehicles (+13.5%), whereas decreases were recorded in exports of computers (-14.4%), power-generating machinery (-9.6%) and equipment and electrical machinery, apparatus and appliances (-5.3%). Imports of ’machinery and transport equipment’ were down (-9.1%), especially due to a fall in imports of metalworking machinery (-28.5%), general industrial machinery and equipment by (-17.7%) and telecommunications and sound-recording equipment by (-15.9%).
The growth of imports of ’mineral fuels, lubricants and related materials’ by 40.7% was caused mainly by higher imports of petroleum (an increase of 26.8% in terms of value, a fall of 0.1% in terms of volume) and natural gas (by 51.4% in terms of value, by 3.5% in terms of volume).
By group of countries, improvements were recorded both in trade with the EU member states (surplus grew by CZK 3.7 billion) and in trade with non-EU states (deficit fell by CZK 5.6 billion). Balance improved particularly in trade with France (the CZK 1.4 billion deficit turned into a CZK 0.5 billion surplus), China (deficit decreased by CZK 1.8 billion), the United States (deficit fell by CZK 1.1 billion) and Slovakia (surplus increased by CZK 1.0 billion). Balance deteriorated in trade with the Netherlands (a CZK 0.2 billion deficit compared with the CZK 2.3 billion surplus), the United Kingdom (surplus decreased by CZK 1.1 billion), Russia (deficit grew by CZK 0.7 billion) and Germany (surplus dropped by CZK 0.5 billion).
Over last twelve months, compared to preceding twelve months, exports and imports were up 24.9% and 20.1%, respectively. Deficit totalling CZK 8.9 billion was CZK 55.1 billion down.
Favourable development was reported for trade in ‘machinery and transport equipment (a CZK 81.9 billion increase in surplus) and in ‘chemicals and related products’ (a CZK 1.6 billion fall in deficit). Deficits rose in trade in ’mineral fuels, lubricants and related materials’ by CZK 11.3 billion and in ’crude materials, inedible, except fuels’ by CZK 2.0 billion. In trade in ’ beverages and tobacco’ the CZK 0.6 billion surplus turned into a CZK 2.3 billion deficit. Surpluses fell in trade in ‘manufactured goods classified chiefly by material’ by CZK 8.0 billion and ‘manufactured goods classified chiefly by material’ by CZK 1.3 billion.
By group of countries, surplus of trade with the EU member states grew by CZK 73.0 billion, most in trade with Germany (by CZK 31.6 billion), Slovakia (by CZK 17.6 billion), Hungary (by CZK 11.2 billion) and Austria (by CZK 9.5 billion). Surplus fell in trade with the Netherlands (by CZK 9.1 billion) and the United Kingdom (by CZK 8.0 billion). Deficit of trade with non-EU states rose by CZK 17.9 billion, particularly with Japan (by CZK 23.6 billion), the United States (by CZK 7.3 billion) and China (by CZK 7.0 billion). On the other hand, deficit decreased in trade with Malaysia (by CZK 4.7 billion).
January-March 2005 exports and imports grew by 14.1% and 10.6%, respectively. Trade surplus of CZK 14,7 billion was by CZK 13.4 billion higher year-on-year.
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According to the communication from the Directorate General of Customs, data were received from 97.5% of the total of 18 122 companies obliged to report to the Intrastat system. As far as large companies are concerned (those whose annual value of exports to or imports from the EU member states exceeded CZK 100 million), the response rate was 98.6% from among the total number of 1 986 companies.
Data for companies exempted from reporting duty (whose annual value of trade with the EU member states was below CZK 4 million for goods dispatched and below CZK 2 million for goods received) and data for companies that failed to report were imputed. The imputation methods are based on data that companies supplied in the previous period. As to the March data, the share of imputed value in total exports was 2.0% and in total imports 2.2%.