Africa-Press – Lesotho. The World Trade Organization (WTO) reported Tuesday that global merchandise trade expanded 5.3% on a yearly basis in the first quarter as imports surged in North America in anticipation of US tariff hikes.
“Merchandise trade volume growth in the first quarter was stronger than the WTO’s most recent forecast, but WTO economists expect the pace of expansion to slow later in the year as fully stocked inventories and higher tariffs weigh on import demand,” the trade body said in a statement.
On a quarterly basis, the global goods trade grew 3.6% in the first quarter.
Anticipating reciprocal tariffs announced by the US on April 2, importers brought forward their purchases ahead of the second quarter to avoid paying higher duties. It was instrumental in the strong growth in goods trade in the first quarter.
Imports in North America recorded by far the largest growth in the first quarter with 13.4%, followed by Africa with a 5.1% rise and South and Central America and the Caribbean with a 3.6% growth.
Imports in the Middle East, Europe and Asia grew 3%, 1.3% and 1.1%, respectively.
On the export side, the Middle East recorded the strongest growth in the first quarter with a 6.3% growth. In Asia, exports rose 5.6% and 3.2% in South America, 2.5% in Africa and 1.8% in North America.
The value of world trade in goods in US dollars rose 4% year-on-year in the first quarter, as measured by seasonally unadjusted exports.
By product, the strongest performance was in office and telecom equipment at 16%, followed by chemicals with 12% and clothing at 7%.
On the contrary, automotive products were down 4%, fuels and mining products were off 4% of which fuels lost 7% and iron and steel dipped 3%.
“While fuel prices changed little compared with the same quarter in the previous year, prices for metals and minerals (excluding gold & silver) were 8% higher,” it added.
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