Philippine exports grew by 3 percent year on year in January to $4.121 billion, turning around after eight straight months of contraction.
Electronics, the country’s biggest export earner, also recovered following 11 consecutive months of decline.
Compared to exports in December, when earnings reached $3.407 billion, January shipments marked an increase of 21 percent, more than 10 times the previous month’s 2-percent growth.
HSBC said in a research note that the sharp increase in January’s exports was “a pleasant surprise,” adding that the unexpected recovery was likely due to the similar upside surprise in economic activity globally toward the end of 2011.
“Looking ahead, the electronic exports’ recovery will only be sustained if demand in the US, Japan and China continues to strengthen,” said Trinh Nguyen, author of the report.
“Given the steady decline of outbound shipments from this sector for most of 2011 (due to both lackluster demand and loss of competitiveness), it is still too early to suggest that the struggle is over,” Nguyen added.
In January the value of electronics products shipped—which accounted for 52.2 percent of total outbound cargoes—grew by 0.4 percent year on year to $2.152 billion.
Electronics shipments grew despite a 1.8-percent decline in the exportation of semiconductor components and devices, which accounted for more than a third of total exports for the month.
NSO data further showed that receipts from the country’s second top export, woodcrafts and furniture, increased by 79.5 percent to $189.62 million.
Articles of apparel and clothing accessories placed third, rising by 5.2 percent to $170.87 million.
Fourth on the list were cathodes made of refined copper, which jumped by 269.4 percent to $108.3 million.
Fifth were automotive wiring sets, which rose by 9.6 percent to $105.12 million.
Also on the list of top 10 earners were coconut oil, down by 45 percent to $88.11 million; metal components, up by 21.9 percent to $75.9 million; other products made from imported inputs, up by 52.7 percent to $54.21 million; petroleum products, up by 14.9 percent to $47.28 million; and pineapple and pineapple products, up by 116.2 percent to $31.99 million.
In January, Japan remained the Philippine’s top export market, accounting for 18.9 percent of total outbound shipments. The value of shipments to Japan, however, decreased by 7.7 percent to $629.27 million.