ABB Estonia exported over 200 wind generators in 2016

The manufacturer of energy sector and automatics equipment ABB Eesti exported a couple of hundred wind generators with a capacity of 2 to 5 megawatts to Spain, Denmark and Germany during 2015.

“The main markets are Spain, Denmark and Germany. But we exported to countries outside Europe too, such as diesel generators for ships to South Korea,” Matti Pekkarinen, head of the electrical machines division for the Baltic countries at ABB, told BNS.

The power generators and frequency changers for wind generators are manufactured at the plant of ABB Eesti in Jüri not far from Tallinn.

“As far as manufacture and sales go, we are talking about Estonia because we have no manufacturing facilities in Latvia and Lithuania,” Pekkarinen said.

He couldn’t say how big was ABB’s revenue from Estonian exports.

Asked about ABB’s plans in Estonia for the current year, Pekkarinen said that uncertainty in the global economy is affecting also the developers of wind farms and financing of large projects has been postponed.

“Things are better in the outlook for the longer term, especially if we look at the decisions made globally and on the national level that have to do with halting climate change and support a rise in the share of renewable energy,” Pekkarinen said.

Source: Baltic News Service via Estonian Review

Exports from Estonia amounted to 1 bEUR in November

According to Statistics Estonia, in November 2015, exports of goods decreased by 4% and imports stayed on the same level compared to November 2014. The decrease in exports was mostly influenced by a decrease in mineral products and electrical equipment.

In November 2015, exports from Estonia amounted to 1 billion euros and imports to Estonia to 1.1 billion euros at current prices. The trade deficit was 102 million euros and it increased by 35 million euros compared to November 2014.

The biggest share in Estonia’s exports in November was held by electrical equipment (21% of Estonia’s total exports), followed by agricultural products and food preparations (12%), and wood and products thereof (10%). The biggest decrease occurred in the exports of mineral products (down by 35 million euros) and electrical equipment (down by 30 million euros). The mineral products (incl. motor spirit, fuel oils, gas, electrical energy) exports were influenced the most by a decrease in quantity and in monetary value. Exports in the electrical equipment chapter were influenced the most by a decrease in the exports of data communications equipment. Compared to November 2014, the biggest increase occurred in the exports of miscellaneous manufactured articles and textiles and products thereof (up by 10 and 6 million euros, respectively).

In November, the main commodities imported to Estonia were electrical equipment (18% of Estonia’s total imports), agricultural products and food preparations (11%), mechanical appliances (10%), transport equipment (10%) and mineral products (10%). The drop in imports was influenced the most by a decrease in the imports of electrical equipment and mineral products (down by 27 and 18 million euros, respectively). The imports of electrical equipment were influenced the most by a decrease in communication equipment components. The imports of mineral products were influenced the most by a decrease in oil price.

The top destination country of Estonia’s exports in November was Sweden (18% of Estonia’s total exports), followed by Finland (16%) and Latvia (10%). The biggest decrease occurred in exports to Sweden, the USA and Spain (down by 25, 17 and 14 million euros, respectively). Exports to Sweden and Spain decreased mainly due to a decrease in the exports of electrical equipment. Exports to the USA decreased mainly due to a decrease in the exports of mineral products. At the same time, there was a significant increase in the exports to Finland and Lithuania (up by 13 and 7 million euros, respectively), mainly due to the exports of electrical equipment.

The main countries of consignment were Finland (15% of Estonia’s total imports), Germany (11%), Latvia (9%), Lithuania (9%) and Sweden (9%). The biggest decrease occurred in imports from Poland (down by 11 million euros), Finland and Russia (both down by 10 million euros). Imports from Poland decreased mainly due to a decrease in the imports of electrical equipment; imports from Finland and Russia decreased due to the decreased imports of mineral products. At the same time, the greatest increase occurred in the imports from Lithuania (up by 17 million euros).

Read more from Statistics Estonia

In October foreign trade decreased

According to Statistics Estonia, in October 2015, exports of goods decreased by 12% and imports by 13% compared to October of the previous year. The decrease in exports and imports was mostly influenced by a decrease in the trade of mineral products and electrical equipment.

The biggest share in Estonia’s exports in October was held by electrical equipment (20% of Estonia’s total exports), followed by agricultural products and food preparations (12%), wood and products thereof (10%). The biggest decrease occurred in the exports of mineral products (down by 68 million euros), electrical equipment (down by 57 million euros). The mineral products exports were influenced the most by a decrease in fuel oils and motor spirits. Exports in the electrical equipment chapter were influenced the most by a decrease in the exports of data communications equipment. Compared to October 2014, the biggest increase occurred in the exports of transport equipment and miscellaneous manufactured articles (both up by 12 million euros). The exports of transport equipment were influenced by an increase in the exports of ships and the exports of miscellaneous manufactured articles were influenced by an increase in the exports of prefabricated buildings of wood, and cushions and blankets.

In October, the main commodities imported to Estonia were electrical equipment (18% of Estonia’s total imports), agricultural products and food preparations (11%), mineral products (10%) and mechanical appliances (10%). The drop in imports was influenced the most by a decrease in the imports of electrical equipment and mineral products (down by 55 and 51 million euros, respectively). The imports of electrical equipment were influenced the most by a decrease in communication equipment components. The imports of mineral products were influenced the most by a decrease in fuel and gas oils.

The top destination country of Estonia’s exports in October was Sweden (18% of Estonia’s total exports), followed by Finland (17%) and Latvia (10%). The biggest decrease occurred in exports to Russia and Sweden (down by 35 and 29 million euros, respectively). Exports to Russia decreased mainly due to a decrease in the exports of mechanical appliances and products of chemical industry. Exports to Sweden decreased mainly due to a decrease in the exports of electrical equipment. At the same time, there was a significant increase in the exports to Saudi Arabia (up by 8 million euros), mainly due to the exports of cereals.

The main countries of consignment in October were Finland (15% of Estonia’s total imports), Germany (11%) and Latvia (9%). The biggest decrease occurred in imports from the Netherlands and Sweden (down by 24 and 21 million euros, respectively). Imports from the Netherlands decreased mainly due to a decrease in the imports of raw materials and products of chemical industry; imports from Sweden decreased due to the decreased imports of electrical equipment. At the same time, the greatest increase occurred in the imports from the USA (up by 12 million euros).

Read more from Statistics Estonia

The current account of the Estonian balance of payments was in balance in September

The flash estimate1 put the Estonian current account balance at close to zero in September 2015. Exports and imports of goods and investment income were both down in September, while exports of services and other income increased at the same time. The total volume of credit and debit on the current account has been smaller than a year previously throughout this year, which indicates that activity has declined in the Estonian external economy.

Eesti Pank is publishing the flash estimate of the balance of payments monthly for the last month but one. The statistics on the third quarter of 2015 will be published with a comment on 9 December.

1 The quarterly balance of payments is compiled from a combined system of representative primary data sources, including surveys of companies, while the monthly balance of payments draws from a considerably smaller database. Although the monthly report uses as much data available for the month reported as possible, including administrative data sources and reports on international payments, it is subjective to a certain degree, which is why it is called an estimate. Once the quarterly balance of payments is released, the monthly balances of payments are adjusted accordingly.

See graph here

Source: Bank of Estonia

Estonia exported for 1 billion euros in September; imported 1.1 bEUR

According to Statistics Estonia, in September 2015, exports of goods decreased by 10% and imports by 9% compared to September of the previous year. Summing up the first three quarters of 2015, exports decreased 3% and imports 5% compared to the same period a year ago.

In September, exports from Estonia amounted to 1 billion euros and imports to Estonia to 1.1 billion euros at current prices. The trade deficit was 146 million euros.

The biggest share in Estonia’s exports in September was held by electrical equipment (19% of Estonia’s total exports), followed by agricultural products and food preparations (12%), miscellaneous manufactured articles (10%) and wood and products thereof (10%). The biggest decrease occurred in the exports of electrical equipment (down by 79 million euros), mineral products (down by 28 million euros), and raw materials and products of the chemical industry (down by 27 million euros). Compared to the same month of 2014, the biggest increase occurred in the exports of miscellaneous manufactured articles, and agricultural products and food preparations (up by 24 million and 18 million euros, respectively).

In September, the main commodities imported were electrical equipment (18% of Estonia’s total imports), agricultural products and food preparations (11%) and mechanical appliances (10%). The drop in imports was influenced the most by a decrease in the imports of mineral products (down by 64 million euros) and electrical equipment (down by 62 million euros). At the same time, the imports of both transport equipment and mechanical appliances increased by 15 million euros.

The top destination country of Estonia’s exports in September was Sweden (18% of Estonia’s total exports), followed by Finland (17%) and Latvia (11%). The biggest decrease occurred in exports to Russia and Sweden (down by 67 million and 40 million euros, respectively). Exports to Russia decreased mainly due to a decrease in the exports of raw materials and products of the chemical industry, and mechanical appliances. Exports to Sweden decreased mainly due to a decrease in the exports of electrical equipment. At the same time, there was a significant increase in exports to Algeria and Kuwait (up by 17 million and 7 million euros, respectively) – due to the increased dispatches of agricultural products and food preparations (incl. cereals).

The main countries of consignment in September were Finland (14% of Estonia’s total imports), Germany (12%) and Lithuania (10%). The biggest decrease occurred in imports from Finland, Sweden and Russia (down by 37 million, 26 million and 23 million euros, respectively). Imports from Finland and Russia fell due to the decreased imports of mineral products and imports from Sweden decreased mainly due to a drop in the imports of electrical equipment. At the same time, the greatest increase occurred in imports from Lithuania (up by 15 million euros).

During the nine months of 2015, exports decreased by 256 million euros and imports by 463 million euros at current prices compared to the same period of 2014, Estonia’s. Exports and imports decreased mainly due to a fall in trade in mineral products, agricultural products and food preparations, and electrical equipment.

By country, the biggest decrease in exports occurred in exports to Russia, Belgium and Latvia, while imports decreased the most due to a fall in trade with Finland, Germany and the United Kingdom.

Read more from Statistics Estonia

Exports and imports were down in August

The flash estimate1 put the Estonian current account at 6 million euros in surplus in July 2015. Exports and imports of goods, services and investment income were all down in August. Exports and imports of other income were boosted by the active use of subsidies from the European Union Structural Funds and by transfers to the European Union budget. The total volume of credit and debit on the current account has been smaller than a year previously for five consecutive months, which indicates that activity has declined recently in the Estonian external economy.

Eesti Pank is publishing the flash estimate of the balance of payments monthly for the last month but one. The statistics on the third quarter of 2015 will be published with a comment on 9 December.


1 The quarterly balance of payments is compiled from a combined system of representative primary data sources, including surveys of companies, while the monthly balance of payments draws from a considerably smaller database. Although the monthly report uses as much data available for the month reported as possible, including administrative data sources and reports on international payments, it is subjective to a certain degree, which is why it is called an estimate. Once the quarterly balance of payments is released, the monthly balances of payments are adjusted accordingly.

Source: Bank of Estonia (see graph here)

Estonia’s highest ever surplus – 5.9% of GDP

The current account of the Estonian balance of payment recorded its highest ever surplus in the second quarter of 2015 at 308 million euros, or 5.9% of GDP, which is more than two and a half times larger than in the same quarter of last year. The main contribution to the growth in the surplus came from the primary income account, which shows labour and investment income, and from the trade account. Having been in deficit to a large degree for years, the primary income account showed a small surplus in the second quarter, while the deficit on the goods account decreased1. Exports and imports of goods and services had a positive balance of 295 million euros on the current account, with exports 3% below their level of the same quarter in the previous year, and imports 4% below theirs.

The deficit in the export and import of goods fell by around one fifth over the year to 196 million euros as imports declined faster than exports did. Imports of goods crossing the Estonian border were 242 million euros larger than exports going the other way. The turnover of goods under merchanting, which are those bought abroad by Estonian merchants for sale in a third country, made up 14% of the turnover of exports and imports of goods, and sales of goods under merchanting exceeded purchases of such goods by 46 million euros.

Exports and imports of services were down by 1% and the surplus from exports and imports of services was the same size as in the second quarter of last year at 491 million euros. There was a decline in the surplus of travel services and transport services, two important services sectors, while the positive balance of other business services increased its share slightly. The surplus in construction services increased almost fourfold at the same time.

The investment and other income account recorded a net inflow in the second quarter2 as a sharp fall in the outflow of direct investment income meant that the inflow of income exceeded the outflow by 13 million euros. The outflow of direct investment more than halved as income tax on superdividends3 was paid to the Estonian state.

The net inflow of labour income and subsidies for production from European Union funds increased somewhat, but remained at about the same level as last year.

The surplus on the capital account increased in the second quarter mainly because of the 69 million euros received in investment support from the European Union Structural Funds.

The net total of the current and capital accounts, or net lending (+) or borrowing (-), saw a surplus of 376 million euros in the second quarter, meaning that the Estonian economy was a net lender to other countries. This was reflected as a net outflow of capital on the financial account of the balance of payments as foreign direct investors reduced the equity of their direct investment companies in Estonia. Credit institutions brought capital in from their external accounts, which was reflected on the cash and deposits account under other investments, with the result that the external assets of the central bank, reflecting the deposits of the banks at the central bank, increased.

Eesti Pank will release the statistics for the balance of payments and the external debt for the third quarter together with a comment on 9 December.

1 All comparisons have been drawn on an annual basis, if not indicated otherwise.

2 Net flow = inflow minus outflow. If the inflow exceeds the outflow, there is a net inflow, if the outflow exceeds the inflow there is a net outflow.

3 Superdividends are on-off dividend payments that are treated as a reduction in equity and shown in the financial account.

The structure of the current account

Net lending (+) and net borrowing (-) and the total current and capital account

 

Source: Bank of Estonia

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