Foreign trade breaks 10-year record

Machinery and transport equipment contributed to good numbers the most.

National Bank of SlovakiaNational Bank of Slovakia (Source: TASR)

Foreign trade was a positive surprise compared to October 2020. The value of exports and the balance of foreign trade reached the highest value in the last 10 years. Imports were below last year's values for the eighth consecutive month, according to data published by the Statistics Office.

Exports from Slovakia were above last year's levels for the fifth month in a row, although the growth rate slowed in October. They amounted to €7.9 billion, up by 0.6 percent year-on-year. The total imports of goods decreased by 5.7 percent y-o-y, to €7.1 billion.

Related articleSlovakia posts second-highest trade surplus in a decade Read more 

The foreign trade balance was in surplus in the amount of €807.5 million, which was €475.8 million more than last year. Moreover, it was the highest in the last decade.

Although exports from Slovakia keep increasing in the past five months, they have seen significant drops this year as well, particularly during the first pandemic wave, said Eva Sadovská, analyst with WOOD & Company.

"The COVID-19 outbreak and related measures not only here, but also out in the world, led to an annual drop in exports by one-third between March and May 2020," she continued. "The increase in exports in the following months is good news, but the level of losses for exporters from the first wave cannot be calculated."

As a result, the exports during the first 10 months of the year are 8.8 percent lower in annual terms, Sadovská explained.

Machinery and transport equipment

The most traded category in foreign trade is machinery and transport equipment, where the automotive industry belongs. Exports in this category went 7.4 percent y-o-y, amounting to €5.39 billion. It contributed to total exports by two-thirds.

"This is the main reason why total exports in September reported an annual growth and foreign trade was in a significant surplus," Sadovská wrote in a memo.

The exports of goods in this category were €1.6 billion higher than imports.

In addition, a positive balance of €45.3 million was recorded in the second most traded category: market products.

The other categories reported ahigher import of goods than exports.

Slovakia dependent on foreign trade

Sadovská noted that Slovakia is a country with a strong orientation on industry.

“Slovakia is a small, open and pro-export oriented economy,” she said. “Within the EU even the fourth most open.”

Export and import comprised 185 percent of the country's GDP last year. In “good” times, openness is an advantage while in “bad” times it is a weak point, Sadovská added.

The development of the Slovak economy is also dependent on foreign trade, from the interest of close foreign trade partners for Slovak products.

Top stories

Opening of the time capsule of Michael's Tower.

Time capsule stored in Bratislava's St Michael statue 176 years ago reveals its secrets

The public can see the items found in the box in the Bratislava City Museum at the Old Town Hall this weekend.

22. okt
Bratislava's Old Town presents its most beautiful trees

Bratislava’s Old Town introduces most beautiful trees via game

One of the spotlighted trees is a majestic European beech in the evangelical cemetery Kozia Brána (Goat Gate).

22. okt
Renáta Kamenárová teaches Slovak at the University of Pittsburgh. She has also co-written several "Krížom krážom" textbooks, which are used by those teaching Slovak to foreigners.

‘Speaking English is almost like having a hot potato stuck in your mouth the entire time you talk’

But in Slovak, your tongue actually works, says an American who learns Slovak.

22. okt
“My Sunny Maad”, a Czech-French-Slovak animated drama about a Czech woman married to an Afghan who decide to live in post-Taliban Afghanistan, is now screened in Slovak cinemas.

Weekend: German adventurer is walking to Iran, with his stubborn donkey

Jazz music is taking over Bratislava this weekend.

22. okt
Skryť Close ad