Global trade will reach a record US $32 trillion in 2022, with trade in goods expected to total US$25 trillion, a 10% increase in trade of goods over 2021, said the United Nations Conference on Trade and Development (UNCTAD).
The agency said trade growth “turned negative” during the second half of 2022 and there are expectations of a slowdown heading into 2023.
During Q3 2022, trade in goods dipped 1% relative to Q2 2022.
Trade in services increased by 1.3% in the same period.
UNCTAD’s assessment of current trade “indicates that the value of global trade will decrease in Q4 2022 both for goods and for services.”
Despite preliminary figures showing a drop in value for the trade of goods, volumes rose by 3%, reflecting resilience in global demand.
Other positive factors included an improvement in logistics, lower congestion and falling freight rates.
Conversely, some negative factors include lower economic growth, the high price of goods and concerns about debt sustainability.
International trade patterns were reshaping global supply chains though sourcing diversification, reshoring and near-shoring.
Trade patterns will also reflect the movement towards a greener economy.
Source: Seatrade Maritime News