flag Federated States of Micronesia Federated States of Micronesia: Trade Profile

Foreign Trade in Figures

For several years the country’s trade policy objective has been to establish international economic relations for the development of foreign trade, especially with the support of the United States. In fact, trade is important to Micronesia’s economy, and the value of foreign trade equals 89% of GDP (World Bank, 2022). Almost the entirety of exports is composed by fish and seafood products 95.1% in 2020). The most recent imports of Micronesia are led by broadcasting equipment (4.5%), poultry meat (3.7%), rice (2.4%), prepared meat (2.2%) and processed Fish with 2,2% (OEC, 2022).

The main export destinations of Micronesia are Thailand (74.5% of total exports in 2020), the Philippines (12.4%), China (5.6%) and Japan with 4.1% (OEC, 2022). The top import origins are the United States (38% of all imports in 2020, China (31.6%), Japan (12.5%) and Chinese Taipe (6.1%). Micronesia has easy access by air and sea to major foreign markets such as the Pacific Coast of the United States, New Zealand, Australia, and Guam which is a real advantage for the development of foreign trade.

Micronesia imports more than it exports, resulting in a chronic trade deficit, a situation that should continue in the following years. Both imports and exports have been growing steadily, even though they remain low. In 2020, according to WTO data, the country exported USD 122 million of goods and imported USD 132 million, resulting in a negative trade balance of USD 10 million. In general, custom duties are relatively low (with an average of 2.2%, excluding luxury goods), but overall trade freedom is limited by non-tariff barriers and poor trade infrastructure. All exports of products, as well as re-exports of imported products, are tax free.

 
Foreign Trade Indicators 20162017201820192020
Imports of Goods (million USD) 250183198194206
Exports of Goods (million USD) 4546474950
Imports of Services (million USD) n/a92828463
Exports of Services (million USD) n/a54848639
Foreign Trade (in % of GDP) 10110110185n/a
Imports of Goods and Services (in % of GDP) 73716561n/a
Exports of Goods and Services (in % of GDP) 28303524n/a

Source: WTO – World Trade Organisation ; World Bank - Latest available data.

Return to top

 
 

To go further, check out our service Import controls and Export controls

To go further, check out our service Import Export Flows

 

Return to top

 

List of tariffs and local taxes that apply to your product on our service Customs duties

 
 
 

Return to top

Any Comment About This Content? Report It to Us.

 

© Export Entreprises SA, All Rights Reserved.
Latest Update: May 2022

Return to top