In September 2013, Hungary’s foreign trade turnover continued to gain momentum: exports and imports soared by 12.7 percent and 11.7 percent, respectively, in comparison to the corresponding period of the previous year.

Thus, foreign trade surplus increased to EUR 830 million, which has been unprecedented since February 2011. In the period January-September 2013, growth was also remarkable, as exports and imports gained 3.6 percent and 4.1 percent, respectively, compared to last year.

In September 2013, the volume of exports and imports totalled EUR 7.3bn and EUR 6.5bn, respectively, resulting in a foreign trade surplus of EUR 830 million. In the initial three quarters of 2013, surplus totalled EUR 5.4bn, up by EUR 67 million, year-on-year.

Foreign trade has been driven partly by the export of cars, thanks to car industry investment projects assisted by the Government, and the import of related components. In addition, import of power generating machinery and equipment, office machines and automatic data processing machines as well as that of other transport equipment – due to the purchase of underground carriages at the beginning of the year – also increased dynamically.

The growth of the foreign trade volume of manufactured products accelerated quarter after quarter, and as a result in the initial three quarters of 2013 exports and imports were both higher by 6.8 percent. The trade volume with regard to commodity groups closely related to the chemicals industry and vehicle manufacturing has also been characterized by steady growth: the import of rubber manufactures jumped by more than 10 percent and -- due partly to new investment projects – it took place concurrently with an increase of the trade of basic forms of plastics, essential oils, perfume materials and cleaning preparations.

Hungary’s foreign trade with EU member states, which compose a large weight within the total turnover, posted a surplus which exceeds by EUR 20.5 million the figure of last year, as it totalled EUR 7.6bn in January-September 2013. Exports to and imports from EU member states increased by 2.9 percent and 3.3 percent, respectively, compared to the same period of 2012. Hungary’s exports and imports vis-á-vis non-EU countries were up by 6 percent and 6.5 percent, respectively.

As a result of the continuous increase of foreign trade turnover, the jump in investment rate, the 1.7 percent growth of the Hungarian economy in the third quarter, the better-than-anticipated industrial and constructor sector data as well as record-breaking employment data, Hungary is expected to enter a lasting and balanced growth path. The latest favourable data underpin the Government’s expectations that GDP growth will this year reach – or under auspicious circumstances even exceed – 1 percent, and increase the likelihood of GDP growth above 2 percent, the figure currently prognosticated by the Government.

(Ministry for National Economy)