UPDATE - Hungary July trade surplus revised to €355m

Hungary had a €354.8m trade surplus in July, down from a first reading of €373.8m published on September 9, but up from €162.4m in the same month a year earlier, the Central Statistics Office (KSH) said on Monday.

Exports increased 5.8% in twelve months to €6.153bn in July. Imports increased 2.5% to €5.798bn. The year-on-year increase of exports was up from 3.1% in June, but still sharply down from 20.5% in May. Import growth was down from 3.8% in June, which followed a steep rise of 15.6% in May.

In volume terms, exports rose 4.2% and imports were down 0.5% from July 2010, with export growth up from a 0.2% rise in June, but sharply down from an increase of 16.9% in May. The decline in imports followed an increase of 0.5% in June and a rise of 11.6% in May.

The surplus for January-July came to €4.209bn, revised down from €4.228bn in the first reading, and up from €2.983bn a year earlier.

January-July exports rose 16.4% to €46.019bn. Imports were up 14.4% at €41.810bn.

In volume terms, exports rose 12.4% in January-July and imports were up 9.6%.

Hungary's terms of trade deteriorated 0.8% in January-July as forint-term export prices rose 2.1% from the same period a year earlier and import prices climbed 2.9%.

The forint strengthened 1.5% to the euro and 7.7% to the dollar in January-July compared to the same period in 2010.

In the machinery and transport equipment segment, exports and imports climbed 11.1% and 7.6%, respectively, in January-July from the same period a year earlier.

Exports of manufactured goods were up 17.5% while imports climbed 14.0%.

Energy imports rose 5.0%, including a 12% rise in crude oil and oil product imports and an almost 20% drop of gas imports. Energy exports were up 21.6%.

The volume of exports to other European Union member states rose 10.4% in January-July from the same period a year earlier, including a 16.2% rise in exports to new member states. Imports rose 12.8%. Imports from new member states were up 15.3%.

Thanks to a €610m higher surplus via new member states, Hungary's foreign trade surplus with the EU improved €257m to €6.025bn in January-July from the same period a year earlier. The surplus with the EU-15 fell €352.5m to €3.575bn during the period.

The foreign trade deficit with countries outside the European Union fell €969m to €1.817bn during the period.