Top 10 Trade Trends For 2022, According To Global Import-Export Trade Databy Exim Trade Data Global Import Export Trade Data
Global commerce appears to be as resilient as ever in 2022, despite US-China tensions, Brexit, and other political challenges to the global economy.
Take a peek at the 2021 supply chain crisis. When terrible congestion appeared imminent, the globe was instead given a lesson in the tenacity of ports, trucking businesses, and shipping lines all around the world.
It turns out that the $8.6 trillion Global Logistics business is still capable of transporting commodities from any producer to practically any buyer or consumer on the planet.
Global commerce is expected to grow 4.7 percent in 2022, down from 10.8 percent in 2021, according to the World Trade Organization. According to UNCTAD, total trade in goods and services is estimated to exceed $28 trillion by 2021.
Demand-side news has also been positive. The United States, the world's biggest economy, is still reaping the benefits of multi-trillion-dollar stimulus programs.
The United States' gross domestic product is expected to have expanded by 7% in the fourth quarter of 2021, up from 2% in the previous quarter. When American customers purchase, the rest of the world benefits.
At the start of 2022, Exim Trade Data has identified the top ten ongoing trade trends:
China is on the verge of overtaking the United States as the world's largest importer
China was already the world's fourth-largest importer in 2001, the year it joined the WTO, after the United States, Japan, and France.
Global trade leaders assumed it wouldn't take long for a country with a population of more than a billion people to open up and become the world's largest importer. Instead, the United States has remained the world's largest importer of products, giving it significant bargaining power in trade talks.
However, the United States imported $2.3 trillion worth of products in the first ten months of 2021, compared to $2.2 trillion for China. China is widely expected to overtake the United States as the world's largest importer in 2022.
Manufacturing in Asia is becoming more diverse
Over 90% of tariffs in the 15-nation Asian bloc led by China would be eliminated under the new Regional Comprehensive Economic Partnership or RCEP.
The accord, which excludes the United States, will hasten trends put in motion by trade conflicts between China and the United States, as well as concerns over supply chains.
As a result, businesses have been compelled to establish factories in countries such as Vietnam, Thailand, and Singapore.
Chinese shipments of mobile phones, the ultimate sophisticated produced high-tech consumer commodity, decreased 19.7% to $16.5 billion in November from $20.6 billion in October.
Despite the fact that the country exported 88.7 million phones, this was down 18.8% from 109.2 million a year earlier.
Because of the expansion of new supply chains across Asia, Chinese imports from ASEAN nations increased 34.9 percent to $38.5 billion in November, the largest increase of any significant region.
Imports from the United States jumped 22.1 percent to $17.8 billion from $14.6 billion, while imports from the European Union gained just 6.8% to $27.3 billion from $25.6 billion.
In the midst of a resource scramble, commodity prices are surging
Despite concerns about climate change, the rise of the work-from-home economy and increased industrial activity have resulted in a surge in global demand for power. As a result, prices have risen.
Chinese natural gas imports, for example, surged 17.8% to 10.7 million tonnes from 9.1 million tonnes a year ago, while increasing by a stunning 169.8% in value.
At the same time, China reduced crude oil imports by 8% to 41.8 million tonnes from 45.4 million tonnes, despite a 73.7 percent increase in value to $24.6 billion from $14.2 billion.
In 2021, prices for everything from soybeans to iron ore increased, part of a global wave of inflation that is expected to continue into 2022.
The United States and its energy exports in 2022
Energy has always been abundant in the United States, from gas resources in Texas to coal mines in Appalachia. According to the Global Trade Data, it is now a major energy provider to countries all around the world.
The United States has emerged as the world's largest and most diversified energy provider, thanks to new gas and coal export ports.
In the first ten months of 2021, the United States exported $189.4 billion in mineral fuels, up 53% from $123.4 billion the previous year.
Exports of coal surged by 49% to $7.3 billion. Energy experts predict that the United States will continue to dominate energy production and exports for decades to come.
Trade in high-tech goods are booming
Lockdowns have become more common as a result of the omicron issue, which has reinforced people's behaviors all around the world. Homeworkers have begun purchasing PCs, routers, and other office equipment to convert their living rooms into workplaces.
People's behaviors and purchase patterns will be perpetuated by the latest omicron wave of the Covid-19 virus until 2022.
Chinese high-tech imports surged by 24 percent to $560.4 billion in the first nine months of 2021, while imports from the United States jumped by 16 percent to $419.2 billion, and imports from the European Union increased by 18 percent to $332.8 billion.
Automobiles are becoming more electric
By 2027, global electric car sales are estimated to reach $800 billion, more than double the present market value. In 2021, over five million electric automobiles are predicted to be marketed, owing to advances in technology and concerns about climate change. It's also reflected in trade figures.
In the first nine months of 2021, Germany, the world's largest market for electric vehicles, boosted imports by 138 percent to $6.1 billion. The UK was the second-largest market, with imports increasing by 121 percent to $5.2 billion. Germany, the world's largest exporter, raised shipments by 110 percent to $10.6 billion.
Batteries are required
This has expanded the commerce in materials used in the manufacture of batteries. During the first 11 months of 2021, Chinese lithium battery exports grew by 78 percent to $25 billion from $14 billion. It imports raw resources from South America.
According to a market analysis report by Exim Trade Data, Chile and Argentina are the world's top two exporters of lithium carbonate, the raw ingredient used to create electric batteries. However, Latin American countries are already shifting where they ship critical materials for electric car manufacture.
They're increasingly supplying lithium to China, rather than other important markets like Japan, South Korea, and the United States, as that country creates their own battery supply chain, according to TDM.
Consumers in the United States are recovering from Covid's lead contamination
Imports from the United States have fueled global manufacturing and the global economy's resurgence. Imports into the United States surged by 21.4 percent in the first 10 months of 2021, climbing to $2.3 trillion from $1.9 trillion.
Consumers in the United States have been buying a lot of everything. Imports of furniture, for example, increased by 26% to $60.9 billion as part of the shift to a stay-at-home economy.
Imports of vehicles climbed by 16 percent to $227.7 billion. Even if China passes it in 2022, there's no hint that the United States will cease to be a lucrative consumer market for the world's leading manufacturers.
Fears of a supply chain meltdown are exaggerated
After a summer filled with headlines about cargo ships packed into ports and canals, trade picked up in the fall.
The main U.S. port, the Port of Los Angeles, saw imports of $226.9 billion in the first ten months of 2021, up 20% from $188.4 billion in the same period in 2020. (Several nations' shipments are included in TDM's database.) Similar increases were seen at other U.S. ports.
The container shipping business does not appear to be on the decline in the near future. It is the cornerstone of the economy's current hyper-globalization.
Coal is a Back
Despite greater attention to the environment, coal trading grew in 2021. Even with the advent of renewable energy sources such as wind, hydro, and solar, the globe just does not have enough fuel capacity. For example, in the first 10 months of 2021, US coal exports grew by 49% to $7.3 billion.
In November, China increased its coal imports by more than thrice, to 35 million tonnes, up from 11.7 million tonnes the previous month. Shipments increased by 761.8 percent in value, from $681 million to $5.9 billion.
Indonesia, Russia, Mongolia, and the United States are China's major coal suppliers.
According to TDM statistics, Chinese coal imports from the United States climbed 993.4 percent in the first 10 months of 2021, to 8 million tonnes, from 733,789 tonnes in the same period of 2020.
Indonesian imports increased by 60.3 percent, while Russian imports increased by 82.2 percent, but Mongolian shipments decreased by 43 percent.
Some of the major countries on which we offer import-export trade data
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Created on Apr 19th 2022 01:14. Viewed 302 times.