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Global Trade Update 2024

Global Trade Update 2024:

The United Nations Conference on Trade and Development (UNCTAD) has released its Global Trade Update 2024, which highlights that, after facing declines over several quarters, international trade is poised for a rebound in 2024.

  • UNCTAD has officially rebranded as “UN Trade and Development” as part of its 60th-anniversary celebrations.
  • The organisation will adopt its new name and logo across all official channels, including communication materials in the six official languages of the United Nations.

Key Highlights of the Global Trade Update:

  • Global trade dipped 3% to USD 31 trillion in 2023 after peaking in 2022.
  • The downturn was driven by less demand in developed economies and weaker trade in East Asia and Latin America.
  • The downturn was driven by a 5% fall in trade in goods. Meanwhile, trade in services bucked the negative trend, growing by 8%.
  • The sector was fuelled by a nearly 40% surge in tourism and travel-related services.
  • Developing countries experienced a sharper decline in trade, with their imports and exports falling by 5% and 7%, respectively, compared to a 4% drop in imports and 3% in exports for developed nations.
  • Most regions saw negative trade growth in 2023.
  • The exception was a significant increase in intra-regional trade in Africa.
  • Despite the overall decline, 2023 saw a 2% rise in trade for environmental products, driven primarily by soaring Electric Car sales. E.g. Trade in electric vehicles grew by 60%.
  • The final quarter of 2023 brought signs of stabilisation, particularly in developing regions.
  • Most sectors saw a rebound, although trade in apparel (clothing and clothing accessories) continued to contract, falling by 13%.