Global trade hits record $33t in ’24 – UNCTAD

Global trade reached a record $33 trillion in 2024, expanding 3.7 per cent ($1.2 trillion), driven by a 9 per cent rise in services trade, according to the UN Conference on Trade and Development (UNCTAD). However, growth slowed in the second half of the year, with fourth-quarter trade in goods growing less than 0.5 per cent and services up just 1 per cent.

Developing economies outpaced developed nations, with imports and exports rising 4 per cent for the year, led by East and South Asia. South-South trade grew 5 per cent annually. Meanwhile, developed economies’ trade stagnated, with imports and exports flat for the year and down 2 per cent in the fourth quarter.

Merchandise trade imbalances widened, with the US trade deficit with China reaching -$355 billion, while China’s trade surplus hit its highest level since 2022. The European Union shifted to a trade surplus, aided by high energy prices.

Looking ahead, trade remains stable in early 2025, but mounting geoeconomic tensions and policy shifts pose risks. Falling shipping indexes indicate weaker demand for manufactured goods and commodities, raising concerns about potential disruptions.

Attribution: Amwal Al Ghad English

Subediting: Y.Yasser