4.2.2

International Trade

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Net trade

Net trade is the balance of exports and imports. This can be influenced by several factors. The balance of UK exports and imports have changed in the past few years.

Illustrative background for UK exportsIllustrative background for UK exports ?? "content

UK exports

  • In 2016, UK exports were valued at around £300bn.
  • The main exports in the UK were financial services, cars, wholesale medicines, gas turbines, petroleum and gold.
  • The leading recipients of UK exports are the USA, Germany, the Netherlands and France.
Illustrative background for Changes in UK exportsIllustrative background for Changes in UK exports ?? "content

Changes in UK exports

  • Since 2000 the UK has decreased its share of exports to the EU from 55% to 45%, taking advantage of the rapid economic growth of countries such as Brazil, China, Russia and India.
  • As London grew as a financial hub from 2000-2008, there was an increase in financial services exported to the rest of the world. This slowed after the global financial crisis of 2008, but is still a major contributor to UK exports.
Illustrative background for UK importsIllustrative background for UK imports ?? "content

UK imports

  • In 2016, UK imports were valued at around £500bn.
  • The main imports were cars, vehicle parts, aircraft, gold, petroleum and wholesale medicines.
  • The leading suppliers of imports to the UK are Germany, China, the USA and the Netherlands.
Illustrative background for Changes in UK importsIllustrative background for Changes in UK imports ?? "content

Changes in UK imports

  • Since 2000, over 50% of UK imports have come from the EU.
  • The rapid growth of China as an exporter has meant that lots of UK imports now come from China.
  • The decline of the UK manufacturing industry has meant that we import more manufactured goods, including computers.
  • Between 1986 and 1998 the UK average a small trade deficit of around £5bn. This then grew until 2002 where it reached £30bn and has roughly stable ever since.

Jump to other topics

1Exploring Business

2Marketing Campaigns

3Business Finance

4International Business

5Principles of Management

6Business Decision Making

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