Singapore: Merchandise trade surplus widens in March
Latest reading: In March, the trade balance was USD +8.8 billion, following a USD +3.6 billion reading in the previous month. Over the last 12 months, the trade balance summed to USD +72.5 billion.
Non-oil domestic exports (NODX) surged 15.3% year on year, well above market expectations and up sharply from a 4.0% expansion in the previous month.
The strong reading was driven by electronics exports, which jumped 74.0% year on year, underpinned by robust demand for chips and integrated circuits linked to the global AI investment cycle.
Non-oil domestic exports (NODX) rose 3.0% in seasonally adjusted month-on-month terms in March, coming on the back of 3.9% growth in the prior month.
Panelist insight: Commenting on the outlook, Nomura’s Euben Paracuelles and Yiru Chen said:
“We maintain our full-year 2026 GDP growth forecast of 3.7%, with Q1 growth still a robust 4.6%, which was cemented by the solid NODX outturn in March. While we acknowledge rising downside risks, we still think sequential growth momentum remains steady, supported by multiple growth engines that remain intact, despite elevated geopolitical risks. These include a still-strong global tech uptrend with broadening AI-related demand, and robust construction activity amid higher public infrastructure spending. We also continue to see plenty of fiscal space for the government to support growth, with some targeted measures already unveiled and other budget announcements frontloaded.”