SINGAPORE: Singapore’s non-oil domestic exports (NODX) rose at a faster pace of 15.9 per cent in June, boosted by global demand for semiconductor-related products and an increase in non-electronic shipments such as specialised machinery and petrochemicals.
This marks the seventh straight month of growth and the largest expansion since March last year. NODX grew a revised 8.6 per cent in May.
The expansion was attributed to a low base a year ago, as well as growth from the non-electronics segment, although electronics also saw an increase, according to data released by Enterprise Singapore (ESG) on Friday (Jul 16).
On a month-on-month seasonally adjusted basis, NODX increased by 6 per cent in June, after the previous month's 0.2 per cent decline.
Electronic shipments increased 25.5 per cent in June from a year ago, with personal computers, integrated circuits and diodes and transistors up 130.2 per cent, 14.9 per cent and 32.2 per cent respectively.
"Electronic exports growth was the star performer," said UOB economist Barnabas Gan.
"Coupled with the improving global economic backdrop, the uptick in semiconductor demand and rising oil prices are strong drivers to lift Singapore’s export momentum in 2021," he added.
Shipments of non-electronic products expanded 13.2 per cent in June from a year ago, led by petrochemicals, which rose 51.2 per cent, as well as specialised machinery, which grew 43.2 per cent.
Exports to the majority of Singapore's top markets rose, except for the United States, Japan and Malaysia.
Mr Gan said that he expects Singapore's external-facing industries to benefit from the continued recovery of the global trade wind, and upgraded his NODX growth expectation to 8 per cent for the whole of 2021, from a previous outlook of 5 per cent.
"Still, Singapore’s economic outlook will depend on the COVID-19 situation, and any exacerbation seen from the recent discovery of new clusters could inject risks to Singapore’s overall growth prognosis," he said.