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Global goods trade continues recovery in Q3: WTO

0 Comment(s)Print E-mail Xinhua, September 5, 2024
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Photo taken on April 12, 2018 shows the abbreviation WTO on the wall of the World Trade Organization headquarters in Geneva, Switzerland. [Photo/Xinhua]

The World Trade Organization's (WTO) Goods Trade Barometer released on Wednesday indicated that global goods trade continued its recovery in the third quarter of 2024.

The barometer, a composite leading indicator for global merchandise trade, recorded a latest reading of 103. Values above 100 indicate above-trend trade volumes, while values below 100 suggest that goods trade has either fallen below trend or is likely to do so in the near future.

The WTO said that the reading of 103 suggests merchandise trade volume growth is likely to remain positive in the second and third quarters of this year.

Despite the positive signal from the barometer index, the WTO noted that the outlook for trade remains highly uncertain due to rising geopolitical tensions, ongoing regional conflicts, shifting monetary policy in advanced economies and weakening export orders.

According to the WTO, trade increased by 1 percent quarter-on-quarter and 1.4 percent year-on-year in the first three months of this year.

Recent data in value terms indicate weaker-than-expected trade growth in Europe, while other regions have experienced stronger-than-expected growth, it said.

The barometer's component indices for automotive products (103.3), container shipping (104.3), air freight (107.1) and export orders (101.2) are currently above trend. In contrast, the indices for electronic components (95.4) and raw materials (99.3) are below trend.

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