According to the international organization, the rebound is due to the great global demand for electric vehicles.
The global panorama of trade in goods shows a sustained recovery, being automobiles and electronic components the main drivers of this rebound, according to the recent quarterly report of the Barometer of the Trade in Goods of the World Trade Organization (WTO).
The barometer index, with a current reading of 100.7, exceeds the previous figure of 99.1 in August, indicating a rebound in trade volumes. Values above 100 are linked to above-trend trading, while those below suggest a drop or possible decline in commodity trading.
The WTO attributed the strength in the automotive products and electronic components indices to the increase in global demand for electric vehicles. On the other hand, the weaker performance in commodities is related, in part, to the decline in real estate markets, hit by high interest rates.
India: a key role in recovery
The electric vehicle market in India is experiencing remarkable growth, projecting an annual growth rate of 49% between 2022 and 2030, with an estimate of 10 million annual sales by 2030according to the Economic Study 2022-23.
Despite economic stagnation into European UnionAs global demand has been impacted, third quarter trade statistics are expected to show moderate improvement due to rising GDP growth in the United States and China.
The volume of global merchandise trade remained relatively stable in the second quarter of 2023, with a slight increase of 0.2% compared to the previous quarter, but with a year-on-year decrease of 0.5%.
The indices that make up the barometer vary, with some notably exceeding the trend, while others remain or fall below it. The greatest increases are observed in the indices of automobile sales and production (110.0) and trade in electronic components (109.8).
On the other handair freight indices (100.3), export orders (99.4) and container shipping (98.0) remained close to or slightly below trend, while the raw materials index (95.6) dipped below trend, the WTO reported. .
Exports of goods from India in October also showed a significant rebound, with an increase of 6.2%, representing only the second increase in the current financial year.
Source: Ambito
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