Exports fell by 1.4% but marked their second best figure in volume in the historical series, with almost 383,689 million euros
The trade deficit closed 2023 at 40,560 million euros, the equivalent of 2.8% of GDP, which represents a decrease of 43.3% on the negative balance of 71,604 million euros registered in 2022, according to data released this Monday at a press conference by the Secretary of State for Commerce, Xiana Méndez.
The decrease in the trade deficit, greater than that of the EU-27 as a whole (-2.5%) and that of the eurozone (-3.3%), was a consequence of the lower energy deficit, which decreased by more than 20 billion euros compared to the previous year, reducing its deficit to less than half.
In 2023, exports of goods exceeded 383,688 million euros, 1.4% less than in 2022, although they are close to the objective of 400,000 million euros estimated for 2027 in the Internationalization Strategy of the Spanish Economy 2017-2027. For their part, imports reached 424,000 million euros, 7.2% less.
Méndez has highlighted that, in terms of volume, exports recorded in 2023 “the second best year in the historical series” after the record of 2022. “At the current time, Spanish exports of goods have already far exceeded the previous level. to the pandemic, being 32% higher than the volumes of 2019”, highlighted the Secretary of State.
As noted, non-energy exports increased by 0.7% in 2023, which partially offset the fall in the energy segment by 20.6%. Energy imports, especially gas, were reduced compared to 2022.
The coverage rate exceeded 90% last year, a percentage 5.3 points higher than that registered in 2022, which was 85%. Furthermore, in 2023 the coverage rate recovered its pre-pandemic levels, with 90.4% compared to 90.2% in 2019.
“The foreign sector acts as an engine of growth and also as a stabilizer of the economy. In 2022 and 2023, external demand and exports have driven GDP growth, with a contribution of 2.9 points in 2022 and 0.8 points in 2023,” Méndez stressed.
The Secretary of State for Commerce has highlighted that these results have been obtained in a context “of uncertainty, external shocks and geopolitical tensions”, such as the war in Ukraine or the conflict in Gaza, which have negatively affected world trade. In fact, global trade in goods and services has slowed, reaching growth of 0.4% in 2023, compared to 5.2% in the previous year.
HISTORICAL MAXIMUM FOR EXPORTS IN FOOD AND AUTOMOBILE
Despite all this, Méndez has highlighted that the Spanish economy managed to grow by 2.5% in 2023, with an important contribution from the foreign sector. “The evolution of the foreign goods sector in Spain is being better than that of the EU-27 and the euro zone as a whole, which shows the competitiveness of Spanish companies, with a strong positioning in international markets,” he remarked. .
Within the total exports of the European Union, Spain has been gaining weight and now represents 5.9%, “the highest figure in its entire history.” “Our foreign sector shows that it is especially resilient in international comparison against different shocks,” Méndez pointed out.
The Secretary of State has stressed that in 2023 a historical maximum of exports was achieved in food, automobiles and non-chemical semi-finished products, which gained more weight in export activity.
In fact, the automobile sector had a contribution of 2.4 points, capital goods contributed 1.8 points and food, beverages and tobacco, 0.8 points. In this sense, the agri-food sector registered the largest trade surplus of the entire balance in 2023, with 14.1 billion euros, 13% more, “a reflection of its strength and competitiveness,” as highlighted by Méndez.
EXPORTS FALL TO THE EU, ASIA AND AFRICA
The European Union continued to be the main destination for Spanish exports, with 62.7% of the total, although these fell by 1.6% compared to 2022.
For its part, 37.3% of exports corresponded to third destinations, highlighting the increases in Spanish exports to Oceania (8.7%), Latin America (8.1%) and the rest of Europe (4.6% ). In contrast, exports to Africa decreased by 5.9% and those destined for Asia decreased by 8.4%.
“In the last year, exports to many of our main European markets, such as Germany, Italy and Poland, have reached record figures. Exports to other markets such as the United Kingdom, Morocco and Turkey have also reached record levels,” said Méndez, who added that the presence of Spanish companies on the African continent must be reinforced.
Méndez has detailed that one of the key factors for these results has been the ability of internationalized Spanish companies to maintain their commercial relationships during the years of greatest uncertainty.
In fact, companies that export regularly have grown to around 44,000 in 2023. In the last year, regular exporters, that is, those that have exported in the reference year and in the three preceding years, rose by 1.7%, accumulating an increase of 27% since 2010.
GOOD PROSPECTS IN 2024 DESPITE THE ECONOMIC COOLING
Looking ahead to 2024, the forecasts indicate that Spanish exports of goods and services will continue to grow “in a context that will continue to be complex”, as highlighted by Méndez, who has denied that, in light of the lower expected contribution of the external sector to the economic growth of 2024, it has exhausted its role as a lever for the GDP.
Asked about the effects that the cooling of economies such as Germany or Italy may have on the Spanish foreign sector, the Secretary of State stated that “the performance of these countries will have to be monitored in economic terms because it may have an impact on exports.” Spanish”, although he recalled that in 2023 the growth of these economies slowed down and Spanish exports reached records in some of these countries.
Regarding the effects that the drought could have on Spanish agri-food exports, the Secretary of State has stated that it is still too early to know, but has indicated that, according to the evolution of the year 2023, it is a sector that in recent years has achieved “positioning in quality, also in price, but more in quality than before, which ultimately reinforces the resilience of the products.”
Regarding the conflict in the Red Sea, Méndez explained that maritime transport flows are being monitored, which show an annual decrease of 55% of those passing through the Suez Canal and an increase in transit through the Cape of Good Hope. 90%, showing since December “a clear diversion of commercial ships towards other routes”, which is lengthening them by about 14 days or even three weeks, with a higher freight cost.
“But despite the increase in freight rates that has been observed in the month of January 2024, there is a certain reversal in that price, a certain moderation,” said Méndez, who added that right now there is no shortage of containers. .
The Secretary of State has stressed that, in any case, supervision will be carried out by companies, associations in the textile and automobile sector fundamentally, “to be able to notice disruptions in their value chains, especially stock ruptures” the conflict in the Red Sea.
