The Australian Bureau of Statistics (ABS) has released trade data for the month of June, with Australia recording a seasonally-adjusted trade surplus of $602 million. The result disappointed analysts’ expectations, which had expected a trade surplus of $804 million.
It was the fifth consecutive monthly surplus and follows the $507 million surplus recorded in May (revised down from $670 million) and the $55 million surplus recorded in April (revised down from $171 million). The next chart shows the quarterly breakdown, with the result likely to add to June quarter GDP:
In seasonally adjusted terms, exports fell $299m (1%) to $26,077m. However, the fall in exports more than offset by a $394m (2%) fall in imports to $25,475m, mostly on the back of lower intermediate and other merchandise goods (-$598m).
Australia’s biggest export commodity – iron ore (24% share) fell by $489 million in June, whereas Australia’s second and third biggest export commodities – coal (16% share) and natural gas (6% share) rose by $310 million and $108 million respectively. Gold – Australia’s fourth biggest export commodity (5% share) – fell by $218 million over the month (see below chart).
Exports to China fell by $718 million over the month to $7,883 million, with its share of total exports also falling slightly to 35.1%. Exports to the the third and fourth biggest markets – Korea (7.3% share), and India (3.6% share) – also fell by $28 million and $275 million respectively, whereas exports to Japan – the second biggest market – rose by $18 million over the month (see below chart).
As always, Western Australia dominated the nation’s exports. It alone accounted for 44% of Australia’s merchandise exports in June, although they fell by 8% over the month. Exports from Queensland also fell by 3%, although they appear to have recovered after tanking in January (see below chart).
Again, Western Australia continues to be the state driving the nation’s trade surplus, although Queensland and South Australia are also in the black:
Finally, Australia’s services trade balance deteriorated marginally in June (-$25 million), driven by lower tourism exports and higher tourism imports (see below chart).
