UK exports to Chile, China and the United Arab Emirates (UAE) grew faster in 2013 than other key trading partners, up 73%, 18% and 16% respectively versus 2012, according to analysis of the latest official ONS data by Santander UK1.
Chile was the fastest-growing export partner for the UK, with total exports to the country standing at £1.2 billion last year, while exports to China grew to £12.4 billion.
The UAE, which now buys £6.2 billion worth of British goods and services annually, has become a top 10 trading partner for the first time, nudging Switzerland into 11th place. The US, Germany, the Netherlands, France and the Republic of Ireland remain the top five most significant export partners, with UK goods totalling £137 billion sold into these markets in 2013.
The US is by far the most important single market to the UK economy, accounting for £41 billion, or 13.4% of all exports – though goods sent to the six EU member states of Germany, France, Spain, Italy, Ireland and the Netherlands totalled £113 billion in 2013, even with exports to Germany falling 8.3% year-on-year.
Key Asian markets are also becoming much more valuable to the UK: along with a surge in demand in China, the UK benefitted from strong export growth in 2013 from India (up 12.8%), Malaysia (7.9%), Taiwan (7.7%), Indonesia (7.5%) and South Korea (6.4%).
The analysis by Santander found that the five markets to which UK exports declined the most in 2013 were South Africa (-29.7% to £2.6 billion), Switzerland (-13.4% to £5.8 billion), Kuwait (-8.6% to £562 million), Australia (-8.4% to £4.3 billion), and Germany (-8.3% to £30 billion)2.
Top 10 countries ranked by UK export growth, 2013 versus 2012
2013 value (£m)
2013 rank
% of total UK exports
2012 value (£m)
% change year-on-year
Chile
1,168
40
0.4
677
72.5
China
12,400
7
4.1
10,538
17.7
United Arab Emirates
6,228
10
2.0
5,364
16.1
Hungary
1,254
37
0.4
1,111
12.9
India
5,261
14
1.7
4,666
12.8
Poland
3,896
22
1.3
3,458
12.7
Turkey
4,102
20
1.3
3,684
11.3
Saudi Arabia
3,398
24
1.1
3,087
10.1
Qatar
1,529
33
0.5
1,393
9.8
Irish Republic
19,024
5
6.2
17,532
8.5
Source:UK's top 50 exported to territories, ONS
Santander has a strong presence in each of the three markets showing the fastest export market growth for UK businesses: Santander is the largest bank in Chile; acquired an 8% stake in Bank of Shanghai in China in 2013 and has a Santander office in Hong Kong; and has an alliance with Abu Dhabi Commercial Bank in the UAE, the corporate and SME banking expert of the region.
The Santander Group has nearly 14,000 branches worldwide – more than any other international bank – and a prominent presence in 14 major markets, including the US and Germany. In November last year, the bank launched the Santander Trade Portal, a new online tool for businesses to help them access new markets and manage their global expansion by identifying where the best importing and exporting opportunities are for their particular products and services.
One of the tools offered by the Trade Portal is a Trade Club which helps connect business customers of Santander UK with a global network of more than five million SMEs and corporates³.
Commenting, John Carroll, Head of International at Santander UK, said: “Exporting is a key part of the success of the UK economy. The good news is that the world is becoming ever more open to trade and UK businesses need to take advantage of the opportunities available in new, existing and emerging markets. Botswana and Angola have broken into the top 50 UK trading partners this year, for instance, and there is increasing demand from countries in the Middle East and Asia.
“It is vital that UK businesses better understand the significant opportunities open to them and the success that can be achieved by exporting their goods and services abroad. Santander is committed to supporting international trade and growth opportunities and in addition to more than 14,000 branches worldwide and our network of international alliance partners, we operate an International Desk in each of our overseas markets.”
Santander is an official partner for the first International Festival for Business (IFB), which opened on Monday 9 June in Liverpool. IFB2014 is a 50 day showcase for British industries and sectors and is designed to help connect UK businesses to new markets, new products and new international partners.