Imports from the UK fell by almost €1 billion last year, official data released on Tuesday indicated.
While Malta imported just under €1.4 billion worth of goods from the UK in 2019, imports from the country in 2020 amounted to just €397 million – a massive 70 per cent decline.
The fall was the single largest decline registered in local trade that year and came during the UK’s first year as a non-EU member state.
London and Brussels finalised a UK-EU trade agreement in the final days of 2020. Malta’s business community has welcomed that deal, with local importers having been bracing themselves for a no-deal Brexit.
Malta ended 2020 with a trade deficit of just under €2.2 billion – a decrease of €1.5 billion from that registered one year prior.
Both imports and exports decreased that year, the National Statistics Office data shows, falling by €2.1 billion and €676 million respectively.
Lower imports were mainly recorded in machinery and transport equipment (€1.3 billion) and mineral fuels, lubricants and related materials (€657 million).
On the exports side, mineral fuels, lubricants and related materials (€457 million) and machinery and transport equipment (€109 million) accounted for the main decreases.
Imports from the European Union reached just over €2.8 billion, or 53.3% of Malta’s total imports. That was a drop of €527 million when compared to 2019.
The single largest increase in imports was from Algeria, with imports from the North African country rising by €103 million in 2020.
With respect to exports, the main increase was directed to China (€4.6 million), whereas Italy registered the highest decrease (€120 million).
While Malta’s trade deficit narrowed in 2020, it more than doubled in the final month of the year when compared to 12 months prior.
Provisional figures for registered trade in Malta in December showed a deficit of €102 million, compared to a deficit of €38 million in December 2019.
The National Statistics Office said both imports and exports registered decreases of €102 million and €166 million respectively when compared to the same month of 2019.
The major decrease in the value of imports was recorded for mineral fuels, lubricants and related materials (€66 million). On the exports side, the main decreases were registered in mineral fuels, lubricants and related materials (€66 million) and food (€52 million.