ZURICH: The Federal Customs Administration released its preliminary annual report on Swiss exports. The document shows that in 2016, Swiss exports expanded 3.8% in nominal terms (-0.8% in real terms) to a record level of CHF 210.7 billion after contracting 2.6% in the previous year (-0.9% in real term).
However, the split amongst various industries was more than unequal as growth was mainly due to the sharp increase in chemical & pharmaceutical products (+11.4%) and a jump in textiles, clothes & footwear products (+10%). On the other hand, the nightmare continues for the watch industry as exports decreased for the second consecutive year, down 9.9% or CHF 2.1bn. Imports also increased last year, rising 4.1% (1.2% in real term) to CHF 173.2bn.
Geographically, exports to the USA showed the largest increase (+13%) and set a new record of CHF4bn. In addition, exports to the European Union climbed another 4% as Germany boosted its imports of Swiss products (+CHF 3bn). Switzerland’s foreign trade ended the year on a positive note as exports rose 9.9%m/m (versus a downwardly revised figure of -4.0%m/m in November), while imports contracted -0.8%m/m (versus -4.5% previous reading). All in all, the trade balance edged down to CHF 2.72bn from CHF 3.50bn in November. As usual, watch exports shrank in the last month of year, down 4.6%y/y as exports to Hong Kong – the largest watch-importing country – fell 15.7%y/y. On the bright side, exports to the USA and China rose sharply, rising 10.9% and 27.6% respectively
