Singapore: Non-oil domestic exports decline in May
Latest reading: Non-oil domestic exports (NODX) declined 3.5% in annual terms in May (April: +12.4% yoy), marking the largest contraction since October 2024. The drop was largely due to the impact of U.S. President Donald Trump’s tariffs increase: Shipments to the U.S. plunged more than 20%. On the flipside, exports to South Korea, Indonesia and Taiwan continued to grow, and shipments to China were dropping at a softer pace. In seasonally-adjusted month-on-month terms, NODX exports fell 12.0% in May, compared to April’s 10.4% increase.
Panelist insight: Comenting on the outlook, Jester Koh, analyst at United Overses Bank, stated:
“We adjust our full-year 2025 NODX forecast downwards […] with reduced confidence over our projections given the situation remains fluid and markets are watching closely for the “new” unilateral tariff rates. […] More importantly, the payback from earlier front-loading could lead to a more protracted downturn in trade activity in 2H25 while escalating geopolitical tensions in the Middle East could further dampen business and consumer confidence.”