The Organisation for Economic Co-operation and Development (OECD) reports that G20 merchandise trade fell for the first time in two years in value terms in the third quarter of 2022, retreating from the recent high levels in Q2 2022.
As measured in current US dollars, exports and imports contracted by 1.3% and 1.1%, respectively, as global demand began to slow and most commodity prices receded from their peaks.
Falling oil prices weakened merchandise exports in North America in Q3 2022, with the United States and Mexico recording positive but slower growth than in the previous quarters.
In the European Union, merchandise exports and imports contracted by 1.5% and 0.7%, respectively. In the United Kingdom, exports grew by 0.8%, while imports fell sharply by 9.9%.
Merchandise trade remained weak in East Asia, despite the increased sales of electronics and machinery. Exports fell by 0.3% in Japan and by 1.0% in Korea, but picked up by 0.7% in China.
Following several quarters of sustained growth, leading commodity traders in the G20 saw a decline in merchandise exports, partly reflecting cooling demand and falling prices.