World Exports



Global stock markets have been rallying since early 2009 because world trade has rebounded and is booming again. The value of world exports soared over 50% since its February 2009 cyclical low. It should surpass the record high of 2008 early this year. Emerging nations are leading the boom, with their exports up 65% during the current global recovery. That’s nearly double the gain of G7 exports, which are also staging an impressive recovery.

 

Emerging nations’ exports surpassed the exports of the G7 nations  in July 1996. Since then, their share of world exports expanded from 50.1% to 65.5%, while G7’s share dropped from 49.9% to 34.5%. The divergence between the New and Old World’s shares should continue to widen as the emerging economies continue to expand at a rapid clip and trade more with each other. (We update these charts monthly for subscribers in our World Trade Economics Alert.)