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The Philippines’ trade deficit grew 3.3% in 2024
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Total external trade in goods saw a slight 0.5% improvement to $200.87 billion in 2024
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Imports increased 1.1% to $127.60 billion while exports reported a slower decline of 0.5% to $73.27 billion
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Electronic products remain the country’s top commodity despite recording a decline in its export value
The Philippines’ trade deficit grew 3.3% in 2024 as trade slightly rebounded from the decline in 2023, according to data from the Philippine Statistics Authority.
The balance of trade in 2024 amounted to minus $54.33 billion, indicating a trade deficit of 3.3%, in contrast to the 8.8% decline in 2023 and lower than the 36.6% increment in 2022.
The higher trade deficit comes as total external trade in goods recovered from a decline in 2023. Trade last year reached $200.87 billion, a slight improvement of 0.5% from $199.83 billion in 2023.
Imports, which accounted for 63.5% of the total, rebounded in 2024 with a 1.1% increase to $127.60 billion from $126.21 billion in 2023, when it recorded an 8% decline.
Exports, meanwhile, reported a slower decline of 0.5% in 2024 with $73.27 billion from $73.62 billion in 2023.
Electronic products remained the country’s top commodity, accounting for $39.09 billion or 53.4% of exports and $27.38 billion or 21.5% of total imports. This, despite having the highest annual decrement of 6.7% in terms of exports, while imports of the commodity grew 2.8%.
Other top commodities for 2024 include mineral fuels, lubricants and related materials ($19.06 billion) and transport equipment ($11.36 billion) for imports, and manufactured goods ($4.68 billion) and other mineral products ($3.01 billion).
By major type of goods, imports of raw materials and intermediate goods continued to account for the largest share, at 36.4% or $46.47 billion. This was followed by capital goods with $35.73 billion, and consumer goods with $25.82 billion.
For exports, manufactured goods contributed the largest share, amounting to $58.39 billion or 79.7%.
Mineral products followed with $7.02 billion, and total agro-based products with $5.96 billion.
China was still the country’s largest supplier of imported goods valued at $32.83 billion or 25.7% of the total in 2024. Top import products from China last year were electronic products, and iron and steel.
Other top import suppliers last year include Indonesia, $10.64 billion; Japan, $10.11 billion; South Korea, $9.63 billion; and the US, $.17 billion.
By geographic region, East Asia had the highest import value of $58.63 billion (45.9%), followed by Southeast Asia with $36.04 billion (28.2%), and Northern America valued at $9.06 billion (7.1%).
For exports, the US was the top export destination in 2024, accounting for $12.14 billion or 16.6% of the total. Electronic products were also the top export to the US, followed by ignition wiring set and other wiring sets used in vehicles, aircrafts and ships.
Other top export destinations include Japan, $10.33 billion; Hong Kong, $9.61 billion; China, $9.44 billion; and South Korea, $3.57 billion.
East Asia was likewise the top export destination in terms of regions, with a share of $35.65 billion or 48.7%. Northern America and Southeast Asia were also the other top trading regions, accounting for $12.70 billion (17.3%), and $11.02 billion (15%) of the total exports, respectively.
