August continued to be the bearer of good tidings for UK manufacturing as new official trade data from the Office for National Statistics (ONS) showed that in June, the exports of goods to countries outside of the EU increased by £1.3 billion to £14.2 billion. £1.1 billion was attributed to the export of finished manufactures, specifically aircraft and works of art. Trade in goods with countries within the EU was relatively unchanged over the same period.
The deficit on trade in goods reduced from £26.5 billion in the first quarter of the year to £24.9 billion in the second. Exports of goods in the second quarter of 2013 reached £78.4 billion, the highest on record although mports also increased to their highest level since the three months to November 2011.
Commenting on the news, senior EEF economist Rachel Pettigrew said the data, while prone to volatility, was a further sign of upward momentum.
She continued: “While exports to Europe have remained stable, exports grew to their highest level this month on the back of strength in sales to non-EU countries, with exports to countries beyond Europe exceeding £40 billion for the first time. This positive trade data supports our view that the manufacturing sector will gain momentum and will be a source of growth for the UK economy over the coming years.”
While the EU remains Britain’s largest single export destination, exports to non-EU countries since 2009 have grown by 49% and now exceed those to the EU.
This material is protected by copyright Ken Hurst 2013.