Singapore's May non-oil exports fall 14.7% y/y, steeper than forecast

SINGAPORE: Singapore's non-oil domestic exports (NODX) fell 14.7% in May from a year earlier, official data showed on Friday, weighed down by declines in both electronic and non-electronic products.

Last month's fall compared with a Reuters poll forecast of an 8.1% drop, and extended the 9.8% contraction seen in April.

On a month-on-month seasonally adjusted basis, non-oil domestic exports contracted 14.6% in May, following April's 2.6% growth. This was higher than analysts' predictions for a 1.3% decline.

The trade reliant city-state has now recorded eight consecutive months of year-on-year contraction in the NODX, amid concerns over economic outlook.

Singapore's economy contracted 0.4% on a quarter-on-quarter basis in the first quarter of this year, raising the risk of a technical recession in the city state.

Maybank economist Chua Hak Bin said the export downturn is deepening and shows "few signs of turning around".

"The worse than expected exports for May has increased the likelihood that Singapore may have slipped into a technical recession in the second quarter, joining New Zealand and Germany," he said.

Non-domestic oil exports to Singapore's top 10 markets declined as a whole last month.

Exports to Hong Kong contracted 41.2% last month due to on lower shipments of integrated circuits, disk media product and electrical machinery.

Shipments to Malaysia declined 26.2% after drops in exports of integrated circuits , non-monetary gold and specialised machinery. - Reuters