The growth of external trade eased in the summer months but remained at a high level owing to medicinal and pharmaceutical products. This is mostly related to increased trade and distribution activity in these (and certain primary) products, which has also contributed to significant monthly fluctuations in exports and imports in recent months. The slowdown of growth in Slovenia’s main trading partners in the euro area has already been reflected in deteriorating export expectations and less favourable export developments in other main manufactured goods for several months. Exports of vehicles and vehicle-related products (around 15% of total exports) and exports of metal products were down year on year, while the growth of exports of other machinery and electrical equipment eased. Slower growth was also recorded for imports of intermediate goods, which is related with the moderation of growth in manufacturing.

Production volume in manufacturing in the summer months remained similar to that in the second quarter. In July and August it increased further only in high-technology industries. This year’s moderation is a consequence of more modest growth in foreign demand. More moderate growth was recorded particularly in the production of intermediate goods, i.e. in the medium-low-technology metal and rubber industries, which are more integrated in global value chains. In the eight months to August, manufacturing production was up 3.8% year on year, but in most industries (except high-technology ones) its growth was lower than in 2018.

The volume of road freight transport increased in the second quarter of 2019, while the volume of transport by rail declined. Road transport abroad strengthened in particular, being almost 13% higher year on year. Growth in road transport that is at least partly connected to the territory of Slovenia was significantly lower. The year-on-year growth of export revenue from road transport also remained high. In freight transport by rail, where growth is more volatile due to the small number of operators and the dynamics of one-off orders, the Q2 decline means a return to a level similar to that recorded last year.