Sweden Trade Gap Narrows: Producer Prices Fall

(RTTNews) - Sweden's foreign trade deficit decreased notably in May from a year ago amid a rise in exports, figures from Statistics Sweden showed on Tuesday.

Separate official data showed that producer prices fell for the first time in nearly two-and-a-half years amid cheaper energy costs.

The trade deficit was SEK 0.3 billion in May, down from SEK 5.3 billion in the corresponding month last year.

The shortfall also declined from SEK 3.6 billion in April.

On an annual basis, exports climbed 3.0 percent, while imports showed no variation.

The non-EU trade balance showed a surplus of SEK 24.2 billion in May, while the trade balance with the EU revealed a deficit of SEK 24.5 billion.

On a seasonally adjusted basis, the trade surplus was SEK 0.2 billion in May, compared to SEK 0.9 billion in the previous month.

The producer price index dropped 2.1 percent year-on-year in May, reversing a 1.3 percent increase in the previous month. Further, this was the first decline since January 2021.

Economists were looking for a decline of 2.9 percent.

Lower prices on refined petroleum products contributed to downward pressure on all markets, the agency said.

Prices for energy-related goods alone plunged by 29.3 percent annually in May, while those for capital goods rose by 10.4 percent.

Excluding energy-related products, producer price inflation in May was 5.0 percent.

On a monthly basis, producer prices slid 1.7 percent versus an expected fall of 1.0 percent.