Philippines - Germany Bilateral Trade Relations

1. Philippines - Germany Bilateral Trade Relations 1950 – 2006

2. Philippines - Germany Trade RelationsRP Exports to Germany 1950 - 2006

3. Philippines - Germany Trade Relations RP Imports from Germany 1950 – 2006

4. Philippines - Germany Trade Relations% Change of RP Exports to Germany 1950 – 2006

5. Philippines - Germany Trade RelationsBalance of Trade1950-2006

6. Philippines - Germany Trade Relations% Change of RP Imports from Germany 1950 – 2006

7. Philippines - Germany Trade RelationsBilateral Merchandise Trade 1950 – 2006

8. Philippine Merchandise Trade with Germany2002-2006 Source: Federal Statistics Office, Wiesbaden, 2006

9. Philippine Merchandise Trade with Germany2002-2006

10. Philippines – Germany Bilateral Trade 1950 - 2006 • RP Exports reached over €110 million in 1957 and continued to grow by leaps and bounds especially in the 1970s and 1980s when the Philippine Export Incentives Act took effect. An overwhelming majority of RP exports were primarily resource based products like logs and lumber, centrifugal sugar, copper concentrate, copra, crude coconut oil and abaca fibers. Very little manufacturing was being done as exports were concentrated on natural resources that were fast becoming depleted. • Bilateral trade relations with Germany officially began in April 1955 when the Philippines signed a trade protocol with then Federal Republic of Germany. The following year, Germany opened a Legation in Manila, which was subsequently upgraded to Embassy status in 1958. While Germany was consistently the Philippines‘ top 4 export market and top 3 import source throughout the 1960s and 1970s, beginning the 1980s, Germany‘s ranking started to slip as other countries become more important trading partners. These were mostly Asian and Middle East countries: Saudi Arabia, Hongkong, Singapore, Malaysia and Taiwan. • In the 90s, electronics products continue to be the Philippines major export to Germany, accounting for 70.56% of total exports to Germany in 2005. Given the continued negative performance of the electronic products in most parts of the EU, the positive trend in Germany is a concrete proof that Germany will continue to be an important market for Philippine products. Electronic data processing equipment/parts in particular that increased 18.99% in 2004, declined sharply by 54.28% in 2005. • Product groupings that posted growths in 2005 were furniture (esp. metal, stone, and wood furniture, including parts of furniture and furnishings), musical instruments, processed food, coconut oil, inorganic chemicals, construction materials, and automotive products. • Trade volume has increased from around a measly €120.4 million exports and €57.9 million imports in 1970s. Total trade with Germany amounted to more than €3.4 billion in 2006, with export growing 25% since more than 3 decades ago, and import increasing 14% to €1.5 billion. From a negative balance of trade more than 30 years back, trade with Germany generates a consistent positive trade balance, amounting to almost €403 million in 2006.