Iran's Non-Oil Trade Surplus With APEC Tops $420m

EghtesadOnline: Iran traded 4.39 million tons of non-oil commodities worth $1.81 billion with member economies of Asia-Pacific Economic Cooperation during the first Iranian month (March 21-April 20) to register a 29.41% growth in tonnage and a 24.24% decline in value compared with last year’s same month.

News ID: ۷۴۷۶۶۳

24 June 2019

Latest data released by the Islamic Republic of Iran Customs Administration show Iran’s exports totaled 3.82 million tons worth $1.12 billion during the month ending April 20, indicating a 38.78% rise in tonnage and an 11.28% decrease in value year-on-year.

Imports stood at 574,089 tons worth $698.89 million, down 10.76% and 38.62% in tonnage and value respectively YOY.

As a result, Iran recorded $421.75 million in non-oil trade surplus with APEC member economies, Financial Tribune reported.

Asia-Pacific Economic Cooperation is an inter-governmental forum for 21 Pacific Rim member economies that promotes free trade throughout the region. Inspired from the success of the Association of Southeast Asian Nations’ series of post-ministerial conferences launched in the mid-1980s, APEC was established in 1989 in response to the growing interdependence of Asia-Pacific economies and the advent of regional trade blocs worldwide. It has 21 members.

APEC also aims to establish new markets for agricultural products and raw materials beyond Europe. Headquartered in Singapore, APEC is recognized as one of the oldest forums and highest-level multilateral blocs in the Asia-Pacific region and exerts a significant global influence.

The criterion for membership is that the member is a separate economy, rather than a state. As a result, APEC uses the term member economies rather than member countries to refer to its members.

Main Commodities, Trading Partners

Iran mainly exported gas condensates, liquefied propane, non-alloy semi-finished iron/steel products, film grade polyethylene, methanol and liquefied butane to APEC member economies.

In exchange, major commodities imported into Iran from APEC member economies included auto parts, field corn, graphite electrodes, palm oil, chemicals, pipes, rice and coke.

In terms of total trade value, China topped the list among APEC member economies with Iran trade standing at 3.11 million tons worth $1.14 billion, up by 61.88% in tonnage and down 15.27% in value YOY.

Exports to China amounted to 2.93 million tons worth $711.19 million to register a 69.91% increase in tonnage and a 2.27% decrease in value YOY.

China was Iran’s top export destination among the countries under review as well as in the world.

In return, China exported 177,510 tons of commodities worth $434.01 million to Iran, down by 9.12% and 30.44% in tonnage and value respectively YOY.

China was the top exporter of goods to Iran among APEC member economies and also worldwide.

Major Iranian commodities exported to China were liquefied propane, methanol and film grade polyethylene.

In exchange, China mainly exported auto parts, graphite electrodes, chemicals, pipes, coal and coke to Iran.

South Korea was Iran’s second biggest trading partner among APEC member economies during the period under review, as two-way commercial exchanges stood at 511,565 tons worth $315.41 million to register a 19.8% rise in tonnage and a 8.84% decline in value YOY.

Iran exported 484,508 tons of goods worth $250.07 million to South Korea, up by 30.86% and 24.06% in tonnage and value respectively YOY.

South Korea was Iran’s second export destination among APEC member economies and third in the world during the month.

Iran’s exports to South Korea included gas condensates, copper concentrate, float glass, marble and saffron.

It imported 27,057 tons of commodities worth $65.33 million from South Korea, down 52.34% and 54.75% in tonnage and value respectively YOY, most of which were auto parts, steel alloy rolled coil and transportation vehicles.

South Korea was the second exporter of goods to Iran among the states under review and ninth in the world.

Russia was Iran’s third major trading partner among APEC member economies.

Mutual trade between Iran and Russia amounted to 213,886 tons worth $87.84 million, indicating a 48.45% rise in tonnage and a 54.61% decline in value YOY.

Iran’s exports reached 65,000 tons worth $25.71 million, up 1.77% in tonnage and down 8.58% in value YOY, while Russia’s exports to Iran were at 148,386 tons worth $62.12 million, up by 86.15% in tonnage and down 62.44% in value YOY.

Russia was Iran’s fifth export destination and the third exporter of goods to Iran among APEC member economies. The country was Iran’s 13th export destination and 10th exporter to Iran in the world.

Kiwi, tomatoes, cabbage, pistachios and dairy products were the main Iranian goods exported to Russia, while Russia chiefly exported field corn, sunflower oil, barley and radio navigation devices to Iran.

Indonesia was Iran’s third export destination, after China and South Korea, among APEC member economies and ninth in the world, as Iran exported 190,664 tons worth $73.93 million during the period to register an 11.69% and 25.93% declines in tonnage and value respectively YOY.

Iran exported non-alloy semi-finished iron/steel products, non-alloy iron/steel ingots, radar devices and bitumen to Indonesia.

Highest Growths, Declines in Trade

Trade with all of the APEC member economies witnessed YOY declines, such that trade with Japan ($2.09 million), Mexico ($70,176) and the Philippines ($4.86 million) saw the lowest declines of 96.64%, 93.36% and 78.77% respectively.

Iran’s exports to South Korea ($250.07 million) saw the growths of 24.06% YOY, while exports to the US ($5,314), Japan ($428,827) and Mexico ($53,787) witnessed the lowest declines of 99.59%, 98.94% and 93.48% respectively.

Imports from Hong Kong ($12.27 million), New Zealand ($253,450) and Malaysia ($10.99 million) witnessed the highest rises of 119.65%, 29.86% and 13.25% YOY respectively.

This is while imports from Mexico ($16,389), Japan ($1.67 million) and the Philippines ($4.78 million) witnessed the highest declines of 92.95%, 92.43% and 78.59% respectively YOY.