Singapore's exports dive

Electronics goods sales to the US halved

Singapore's exports suffered their sharpest fall ever in September, as the city state grappled with its worst recession since the 1960s.

Singapore's economy, which depends heavily on hi-tech manufacturing, was feeling the impact of the US economic slowdown even before the 11 September terrorist attacks.

Hi-tech electronic goods make up half of Singapore's manufacturing output and account for about 12% of the total economy.

Exports to the US fell by almost half in September, compared with the same month a year earlier.

Recession deepens

Singapore's overall exports slumped for the seventh month in a row.

Singapore's Trade Development Board said the world's major economies - the US, European Union and Japan - had continued to slow after 11 September and that "the slump in global electronics demand persisted".

The government has introduced three stimulus packages to boost the economy, already forecast to shrink by 3% this year.

Analysts said that Wednesday's report suggested that economic growth would continue to decline in the last three months of 2001.

Big falls

The most keenly watched indicator, total non-oil exports, plunged by 30.7% in September to $7.11bn Singapore dollars ($3.91bn) compared with the same month last year.

Electronics exports dived 38.9% to $4.91bn Singapore dollars ($2.3bn), following a 37.5% decline in August.

Exports to the US were 44.5% lower, while those to Japan fell 30%, and exports to EU countries fell by 27.4%.