Imports Bounce Back

TDT | Manama

Email: mail@newsofbahrain.com

Sea routes recover but heavy industry, vehicles and raw materials bear deep scars

Trade began to recover in April and May after war shut the Strait of Hormuz, snarled sea and air routes and left Bahrain with an estimated BD694 million import gap over three months.

Imports rose to BD287.7 million in April and BD373.2 million in May, up almost 69 pc from the March low, as shipping lanes reopened and freight routes returned to use.

The rebound followed a collapse from BD523.1 million in February to BD221.1 million in March, a fall of 57.7 pc, as industrial goods, raw materials, vehicles and seaborne cargo struggled to reach the Kingdom.

May imports remain below pre-war levels

The May figure was still about 29 pc below the average for January and February, when imports stood at BD527.8 million and BD523.1 million.

Average monthly imports from March to May fell to BD294 million, against BD525.4 million before the crisis. The gap left the market with about BD694 million less in goods over the three months than it would have received at earlier rates.

The shock was the worst to hit Bahrain’s trade since the Covid-19 pandemic in 2020, when the current account posted a BD1.223 billion deficit and goods imports fell by 17.8 pc.

Long-distance suppliers hit hardest

Countries reliant on long sea routes suffered the steepest falls. Imports from China dropped by 57.4 pc, while those from Australia fell by 81.6 pc, Japan by 69.9 pc and the United States by 50.9 pc.

Imports from the UAE were down 35.2 pc.

Saudi Arabia moved in the other direction. Imports from the kingdom rose by 18.2 pc against the pre-war average as firms turned to road links and shorter Gulf routes.

Freight traffic across the King Fahd Causeway helped keep goods moving into Bahrain while long-distance shipping was hit.

Heavy industry bears the damage

Heavy industry bore much of the damage. Imports of vehicles and parts fell by 72.8 pc, raw materials and metals by 74.9 pc, and mineral fuels and oils by 62.5 pc.

Machinery imports dropped by 54.4 pc, while electrical equipment fell by 40.1 pc.

Iron ore imports sank by 75.3 pc, from a monthly average of BD19.9 million before the crisis to less than BD5 million between March and May.

Aluminium oxide imports, a key input for manufacturing, fell by over 52 pc. Aircraft engine parts dropped by 78.2 pc, from BD24.3 million to BD5.3 million.

Medical supplies hold up

Medical supplies proved far more resilient.

Imports of medicines prepared for retail sale rose by 29.7 pc, while immunological products and medical sera increased by 41.5 pc. Diagnostic and laboratory reagents climbed by 46.2 pc.

The figures show that drug and healthcare supplies kept moving even as much of Bahrain’s industrial trade was hit by the closure of shipping routes and the sharp break in regional supply lines.