Export and import activity among G20 nations showed a mixed picture in the third quarter. Trade in goods slipped by modest margins, while services trade held steady, with exports and imports of services inching up slightly after earlier gains. In dollar terms, goods and services moved in different directions, reflecting shifting demand and production patterns across regions.
The overall drop in goods value signals a sustained slowdown, a trend observed across parts of East Asia and Europe, a pattern highlighted by the Organisation for Economic Co-operation and Development. The OECD noted a cooling environment that affected trade flows in several large economies during the period under review.
Across Europe, exports fell by about one and a half percent on average within the European Union. Germany and France were especially affected, with declines exceeding two percent largely tied to softer shipments of machinery and transport equipment. East Asia experienced a similar contraction in merchandise trade, driven largely by declines in machinery and steel products, where exports fell by about six percent and imports by around three and a half percent in China.
In Japan the export landscape was more moderate, dipping slightly yet remaining negative. Korea bucked the regional trend with a notable rise in exports, up about one point two percent, supported by stronger auto sales. Both countries experienced changes in import patterns, partly linked to movements in energy product purchases.
Losses in basic commodities pressured exports from Australia and Indonesia, while a brighter note emerged from North America, particularly the United States, where exports benefited from robust activity in the automotive and energy sectors. The services side maintained a cautious trajectory, with exports and imports of services increasing by small margins in the third quarter, following steadier growth in the preceding period.
In the United States, service exports rose by roughly one point eight percent, while imports edged higher by about one fifth. Travel and business services were the main drivers behind the import rise. Canada saw a smaller uptick in service exports, around eight tenths, with imports climbing more meaningfully, about three point three percent, largely on stronger travel-related demand.
Germany experienced a modest uptick in service exports while imports tracked down due to softer travel spending. France, conversely, registered a notable rise in imports of services, driven by higher service-related expenditures, even as overall service exports remained relatively stable.
Across the United Kingdom, both exports and imports of services advanced sharply, reflecting dynamic growth in commercial services trade and related sectors. Freight and transport services continued to shape the regional services landscape, with transport activity contributing to overall growth in trade flows between services sectors.
Transport services, particularly freight movement, remained a pressure point for East Asian service exports, with a pronounced downturn seen in Japan, China, and Korea. Yet travel activity helped to lift import growth in Korea and Japan, offsetting some of the weakness in other service categories.
Looking further afield, Brazil recorded a solid increase in service exports driven by travel and telecommunications services, while imports rose at a more controlled pace, reflecting careful management of demand and a more balanced trade position in that period.
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