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Colombia Trade Balance July 2020

Colombia: Exports plunge again in July

On an annual basis, merchandise exports contracted 21.7% in July, less severely compared to last month (June: -26.4% yoy). As in the previous month, July’s drop was largely driven by collapsing fuels and extractive industry exports, as well as a considerable drop in manufacturing shipments. That said, July’s reading marked the smallest contraction since March, likely owing to the gradual recovery of foreign demand amid the easing of Covid-19 restrictions overseas.

Meanwhile, in June—the latest month for which data is available—merchandise imports fell at a considerable softer pace of 28.5% in annual terms, after plummeting 40.9% in May. As a result, the merchandise trade deficit narrowed to USD 0.4 billion in June from USD 0.7 billion in June 2019. Lastly, the trend improved, with the 12-month trailing merchandise trade balance recording a USD 10.9 billion deficit in June, compared to the USD 11.2 billion deficit tallied in May.

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