https://www.engineeringnews.co.za
Automotive|Components|Container|Export|Freight|Health|Products
Automotive|Components|Container|Export|Freight|Health|Products
automotive|components|container|export|freight|health|products

Slump in global goods trade to deepen with coronavirus, WTO says

17th February 2020

By: Bloomberg

  

Font size: - +

Global trade in goods will likely stay weak in coming months as disruptions from coronavirus in China staunch the movement of international commerce already slowed by tariffs and uncertainty, according to the World Trade Organization (WTO).

The Geneva-based body’s latest forward-looking Goods Trade Barometer stood at 95.5, compared with a level of 96.6 in November. Readings of 100 indicate growth over the next quarter in line with medium-term trends, while those higher or lower than 100 points to growth above or below the recent trend.

“The slow start could be be dampened further by global health threats and other recent developments in the first few months of the year, which are not yet accounted for in the barometer’s best-available historical data,” the WTO said in the report.

The volume of world merchandise trade was down 0.2% in the third quarter last year compared with a year earlier, according to the organization.

“The latest barometer reading provides no indication of a sustained recovery,” it said. “Indeed, year-on-year trade growth may fall again in the first quarter of 2020, though official statistics to confirm this will only become available in June.”

The drop in recent months was tied to declines in container shipping, agricultural commodities and a leveling out of the automotive products index, the WTO said. Readings of export orders, air freight and electronic components, while below the baseline, “appear to have stabilized and would normally be expected to rise in the coming months.”

“However, every component of the Goods Trade Barometer will be influenced by the economic impact of COVID-19 and the effectiveness of efforts to treat and contain the disease,” the organization said.

The US and China signed a deal last month that forestalled any escalation in the trade war between the world’s two largest economies but kept intact tariffs on each other’s goods. The UK and European Union, meanwhile, are trying to hammer out an agreement on cross-border commerce this year after Britain officially left the bloc on January 31 after almost half a century of membership.

Edited by Bloomberg

Comments

Showroom

WearCheck
WearCheck

Leading condition monitoring specialists, WearCheck, help boost machinery lifespan and reduce catastrophic component failure through the scientific...

VISIT SHOWROOM 
Alco-Safe
Alco-Safe

An unmanned breathalyser that is made to be tough and simple to use. Can be used in any environment for operator-free breathalyser testing.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.158 0.213s - 159pq - 2rq
Subscribe Now