By Saurabh Chaturvedi
SINGAPORE--Singapore's key non-oil exports rose at a much slower pace in June as growth in non-electronics exports slowed, while electronics shipments continued to decline.
Exports of goods made in Singapore rose 1.1% in June from a year earlier, after jumping 15.5% in May, trade promotion agency International Enterprise Singapore said Tuesday.
Economists, according to a poll conducted by The Wall Street Journal, expected June exports to rise 9.6% from a year earlier.
Shipments of non-electronic goods rose 4.6% from a year earlier, slowing from a 26.2% gain in May after pharmaceutical product exports rose 19.1% versus a 32.1% rise in the previous month. Exports of electronic goods, however, fell 7.9% from a year earlier in June, due mainly to a high base of comparison from last year. They fell 7.8% in May.
While non-electronics exports grew for the third straight month, the other key driver, electronics shipments, fell for a seventh consecutive month.
In a note that was released on Friday, Moody's Analytics said a high base effect is overstating the annual declines in electronics.
"Although the global tech cycle has passed its peak, the cooling trend is gradual and will lift Singapore's manufacturing engine in coming months," it said, noting a potential recovery in electronics shipments in the coming months.
The data isn't surprising as advance growth estimates released Friday by the government showed Singapore grew at a slower than expected pace in the second quarter, as manufacturing and construction lagged.
The city-state's shipments to China, its biggest export destination, fell 15.8% in June from a year earlier, compared with a 6% on-year fall in the previous month, IE Singapore said.
Exports to the European Union rose 3.4% on year after rising by 97.5% in May. Exports to the U.S. grew 30.9% after the previous month's 54% increase.
Compared with the previous month, exports fell 10.8% in seasonally adjusted terms, after expanding 10.3% on month in May. The economists polled had projected a median 6.3% contraction in June.
Write to Saurabh Chaturvedi at firstname.lastname@example.org