June non-oil domestic exports rose 20.7% year-on-year, missing expectations as non-electronics shipments declined despite strong AI-driven electronics demand.
Singapore’s non-oil domestic exports increased 20.7% year-on-year in June, missing the 30% growth forecast in a Reuters poll. The figure marked a sharp slowdown from May’s 38.4% surge, the highest in two decades, as non-electronics exports declined despite robust AI-related electronics demand.
Electronics shipments continued to drive growth, particularly to Taiwan and the U.S., while non-electronics exports fell. The divergence suggests a narrowing export recovery, raising concerns about the sustainability of Singapore’s manufacturing base. Q2 GDP growth remained strong at 5.7% annually, indicating a moderation rather than a downturn.
The miss against consensus may lead to downward revisions in near-term trade expectations, though underlying electronics strength remains intact.