atans1

Blame Apple, Google for declining exports, growth

In Economy, Indonesia, Malaysia on 19/10/2013 at 6:26 am

The following pieces of bad news came as no surprise even though I’m no economist

— Singapore’s non-oil domestic exports (NODX) fell year-on-year for an eighth straight month in September.

Overall, exports declined by 1.2 per cent on-year in September.

Still, economists say the contraction was smaller than what the market was expecting.

Better-than-expected export performance in September was driven by non-electronic exports like ships and petrochemicals.

This helped to offset lower electronics exports such as PC parts and disk media products.

Electronic export has been declining year-on-year for 14 consecutive months due to weak external demand.

Vishnu Varathan, a senior economist at Mizuho Bank, explained: “The higher value-add items such as the part for the integrated circuits — they did better; whereas PC parts, the lower-end items, disk drives — these did much worse. So this underlies the fact that Singapore’s competitiveness must be at the higher end of the range given our cost base, and that’s where we’re losing out. So in terms of restructuring, it’s going to be a difficult period for electronics despite coming from a low base.”

The top three contributors to the export contraction were the European Union, South Korea and Japan.

On a month-on-month basis, exports rose 5.7 per cent in September, versus the previous month’s 6.6 per cent decline.

http://www.channelnewsasia.com/news/business/singapore/singapore-s-nodx-down-1-2/850428.html

— [A]n advance estimate showing the city-state’s economy shrank 1.0 percent on quarter in the July-September period, better than expectations for a 3.6 percent contraction, but a significant deceleration from 16.9 percent growth in the previous three months.http://www.cnbc.com/id/101109030

This is because on 10 October I read a BBC report:

Global PC shipments drop to a five-year low

Global shipments of personal computers (PCs) have hit a five-year low, according to new figures from the research firm Gartner.

Shipments totalled 80.3m units in the three months to September, down 8.6% from a year ago.

PC sales have now fallen for six quarters in a row, hurt by the growing popularity of tablets and smartphones.

Gartner said falling prices of tablets had further hurt sales of PCs in emerging markets.

“Consumers’ shift from PCs to tablets for daily content consumption continued to decrease the installed base of PCs both in mature as well as in emerging markets,” Mikako Kitagawa, principal analyst at Gartner, said in a statement.

“A greater availability of inexpensive Android tablets attracted first-time consumers in emerging markets, and as supplementary devices in mature markets.”

Decline

Research firm IDC, also released figures on Thursday, which showed global shipments of PCs fell by 7.6% to 81.6m units over the period.

As I explained before (example), S’pore and M’sia belong to the Microsoft ecosystem, not those of Android or Apple.

Not gd news for Msia either.

In other Asean-round-up news,

In M’sia, Umno V-Ps favoured to hold on to posts. They are up against three challengers, including Mahathir’s youngest son, Mukhriz

And maybe we can learn something from Indonesia‘s

— youth growing interest in politics and civil society matters (http://www.bbc.co.uk/news/world-asia-24549654); and

— how to grow old gracefully by going against tradition (http://www.bbc.co.uk/news/business-24530350).

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