Car imports boost trade

The value of imported cars bounced back in April 2021 and led the way as total goods imports increased by $1 billion, or 26 per cent, from a year earlier to reach $5b.

It follows trade being impacted in April last year by a nationwide lockdown to contain the spread of the coronavirus.

Passenger motor cars rose $186 million, or 75 per cent, year-on-year to $433m last month, according to new figures from Stats NZ.

This more closely matched the totals of recent months and 2019 after passenger-car imports slipped to $247m in April 2020.

All major categories of goods increased in value last month, with a $207m climb in crude oil imports from a year ago to $254m the other main contributor to the overall rise.

Alasdair Allen, international trade manager at Stats NZ, says: “The rise in import values contrasts with a fall of similar magnitude in import values in April 2020.

“In April 2020, New Zealand had entered Covid-19 level-four lockdown, non-essential businesses had closed, and domestic and international travel was restricted.”

When the numbers are broken down into main commodities, the value of imported vehicles, parts and accessories increased by $336m, or 77 per cent, in April 2021 from the same month a year earlier. 

The sector totalled $774m last month compared to $438m in April 2020.

For the 12 months to the end of April, the total value of vehicle and parts imports was $7.2b, a drop of 11.5 per cent from $8.1b at the same stage of last year.

Overall, imports rose from all of New Zealand’s top trading partners. The largest of the increases was from the European Union – up $214m, or 41 per cent – with rises in cars, trucks, and mechanical machinery and equipment.

Exports of several commodities, including forestry products and mechanical machinery, increased in value in April 2021, but these rises were partly offset by falls in dairy products and fruit.

In April 2021, the value of total goods exports rose $65m, or 1.2 per cent, compared with April 2020, to $5.4b.

The monthly trade balance was a surplus of $388m.