Exports and imports down compared with 2022

Annual goods exports were valued at $68.7 billion in the year ended December 2023, down $3.3 billion (4.5 percent) from the year ended December 2022, according to figures released by Stats NZ today.

Over the same period, imports were valued at $82.3 billion, down $4.3 billion (5.0 percent).

This resulted in an annual trade deficit of $13.6 billion in the year ended December 2023. In the year ended December 2022, there was a deficit of $14.6 billion, which is the largest annual December deficit since the series began.

Tropical cyclones Hale and Gabrielle affected Aotearoa New Zealand in January and February 2023. The adverse weather and resulting flooding caused significant damage and disruption, particularly across the North Island.

Despite this, monthly export values generally increased in the first five months of 2023, when compared with the same period in the previous year, reaching a peak of $7.0 billion in May 2023. For the remaining seven months of 2023, exports decreased when compared with same period the previous year.

“The fall in exports for the second half of 2023, when compared with 2022 were led by unit price falls for most of our main export commodities,” international trade manager Alasdair Allen said.

“Milk powder and sheep meat were two of the most affected commodities.”

Another contributing factor was the fall in exports to China over the second half of 2023. Monthly exports to China fell when compared with the same period in the previous year from June 2023 onward.

Over the second half of 2023 (July-December), exports to China fell by $1.9 billion compared with the same period in 2022. This fall was led by milk powder, butter, and cheese (down $739 million), and meat (down $561 million).

Fall in exports to China continues in the year ended September 2023 has more information.

Total monthly imports increased in the first five months of 2023, when compared with the same period in the previous year. However, from June to December 2023, imports decreased when compared with the same period in 2022.

China led the fall in total imports in 2023 compared with 2022. Over the second half of 2023 (July-December), imports from China fell $2.1 billion. This fall was led by vehicles, parts, and accessories (down $490 million), mechanical machinery and equipment (down $300 million), and iron and steel, and articles (down $200 million). Petroleum products (up $219 million) partly offset the falls in imports from China.

“2023 showed a reversal of trends, with the latter part of the year seeing a general softening in both export and import values,” Allen said.