Indonesia’s External Trade Slumps in August 2020; Second Lockdown to Impact Domestic Demand: Oxford Economics

Total trade in Indonesia continued on its downward trajectory in August 2020, with official data showing an 8.36% year-on-year (YoY) decline in total exports to USD 13.07 billion, whilst imports declined at a much steeper rate. According to media reports, the decline in exports was led overall by weak manufacturing and mining shipments. Total exports during the first eight months of 2020 stood at USD 103.16 billion, down 6.51% YoY.

Total imports reached USD 10.74 billion in August 2020, down 24.19% YoY, with all categories of imports declining in the double-digits, and the largest fall coming from raw materials, according to Oxford Economics. Oxford Economics also noted that the underperformance in imports was indicative...