New figures: 2018 was a year to forget for Danish exports
2018 has been a sluggish year for Danish exports due to declining exports to the UK, China and Sweden, among other things. DI hopes for a rebound in 2019, but international uncertainty resulting from trade wars, Brexit and a weak German economy may take a toll on exports.
Denmark’s goods exports fell by 3.5 per cent in December. In the fourth quarter overall, however, goods exports did increase by 2.1 per cent, while service exports increased by 2.5 per cent, shows new data from Statistics Denmark.
“2018 was a year to forget for Danish exports. Unfortunately, exports were hit by another decline in December, and 2018 has generally been a sluggish year for Danish exports. Particularly exports to the UK, China and Sweden have faced headwinds in 2018,” says Allan Sørensen, Senior Analyst at the Confederation of Danish Industry.
For 2018 overall, goods exports saw growth of 0.8 per cent, while service exports grew by 0.2 per cent.
Danish companies have to fight hard to win orders and thereby increase exports. Senior Analyst Allan Sørensen, the Confederation of Danish Industry
“We can be pleased that we’ve increased employment at a time where exports, which are the Danish economy’s main engine, have struggled. If we’re to sustain the economic upswing, it’s crucial that we get exports going again,” says Allan Sørensen, Senior Analyst at the Confederation of Danish Industry.
“We’re hoping for stronger exports this year, but at the same time there’s enormous uncertainty about the strength of the global upswing. A hard Brexit is becoming increasingly likely, the international trade war is still looming, the German economy is showing signs of weakness and Italy has slipped into recession. This could pull companies’ exports in the wrong direction,” says Senior Analyst Allan Sørensen, the Confederation of Danish Industry.
“The global economy is still growing, but the pace is slowing. Danish companies have to fight hard to win orders and thereby increase exports,” says Senior Analyst Allan Sørensen, the Confederation of Danish Industry.
Denmark’s balance of payments ended with a surplus of DKK 133.7 billion in 2018. The current account surplus is DKK 39.6 billion less than in 2017, and the smallest since 2012.
“The balance of payments surplus decreased in 2018, because exports slowed while domestic demand remained high, and hence also imports from abroad. If the surplus is calculated as a proportion of GDP, we’re looking at the smallest balance of payments surplus since the financial crisis,” says Allan Sørensen, Senior Analyst at the Confederation of Danish Industry.
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