G20 merchandise trade expanded in Q3 2024, as measured in current US dollars, following mixed performance in the previous quarter (Figure 1 and 2). G20 merchandise exports grew by 0.4% compared with Q2 2024, while imports increased by 1.5%, largely driven by trade growth in North America and Europe. Preliminary estimates indicate that G20 trade in services continued to expand in Q3 2024[1]. G20 services exports rose by 2.8%, supported by strong export growth in China, while imports expanded by 1.4% (Figure 1 and 2).
Merchandise trade in the United States grew significantly for both exports (2.5%) and imports (3.1%), fuelled by strong trade in capital goods, including semiconductors. Canada’s exports rose by 0.9%, driven by higher sales of mineral products and consumer goods. The European Union saw merchandise exports expand by 1.8% after several quarters of weak growth, with key contributions from Germany (pharmaceutical products) and Italy (apparel and food articles). Germany’s imports surged by 3.3%, led by demand for electrical machinery, apparel, and organic chemicals. In Asia, Japan experienced export growth of 4.9%, supported by electrical and metalworking machinery and scientific instruments, while imports increased by 3.4%, driven partly by apparel and telecommunications equipment. Korea recorded modest export growth of 0.1%, while imports rose by 1.9%, primarily due to energy products. China faced a contraction, with exports declining by 3.4%, largely due to weaker demand for furniture and plastics, while imports fell by 2.0%, mainly due to reduced purchases of crude petroleum. Indonesia’s exports increased by 3.5%, led by animal and vegetable oils, while imports surged by 11.8% driven by machinery and mechanical appliances. Australia’s exports rose by 0.7% supported by industrial supplies and processed foods, while imports fell by 0.5%, reflecting reduced demand for fuels, motor cars, and industrial transport equipment.
Services exports rose by 1.3% in the United States, with gains in insurance and other business services offsetting a decline in transport receipts. Imports increased by 2.3%, driven by higher payments for insurance and intellectual property services. Canada’s exports rose by 1.3%, supported by transport and business services, while imports grew by 2.0%, mostly from travel. Services exports grew strongly in Germany (3.8%) and France (4.1%), particularly in transport and business services. In the United Kingdom, imports rose sharply by 3.9%, reflecting higher expenditures on intellectual property and ICT services, while exports grew by 0.7%. Japan recorded a 0.2% increase in exports, with higher revenues from intellectual property and business services being offset by weaker transport and travel receipts, while imports rose by 1.5% due to higher travel and business service expenditures. Korea saw exports surge by 4.0%, driven by transport (especially freight), intellectual property, and business services, while imports grew by 3.2%, led by transport, travel, and financial services. China’s exports recorded a remarkable increase (16.4%), fuelled by strong transport and travel revenues, but imports declined significantly by 4.2%.
Source: OECD
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