NEWSLETTER | World Trade Center Miami

Global trade to fall by record 27% due to Covid-19, says UN

Written by The Guardian | May 21, 2020 6:24:22 PM

Global trade is forecast to fall by a record 27% in the second quarter of the year after a slump in the export of cars, machine parts and oil.

The coronavirus pandemic has hit the supply and demand for products across the world leading to a severe decline in world trade, said Unctad, the United Nations organisation that tracks trade flows.

Almost every category of goods is expected to suffer a fall in trade over the coming months, adding to a 3% decline in the first quarter of the year.

Unctad said the data revealed the huge shock to the global economy from the Covid-19 pandemic.

China was the first country to report a decline in trade ahead of a lockdown put in place by the authorities in Beijing in February. The rest of the developed world followed in March when similar lockdowns were announced.

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