The seasonally adjusted merchandise trade balance was in a sizeable €6.77 billion surplus in January, up from a larger revised €4.99 billion in December and a multi-year high.

However, the monthly widening masked a 3.2 percent drop in exports and reflected instead a hefty 7.3 percent slump in imports, the latter's third straight decline. The decrease in exports, which hit their weakest level since March 2022, was broad-based with consumer goods sliding 0.3 percent and capital goods and intermediates a hefty 5.7 percent and 5.5 percent respectively. Indeed, without a 12.5 percent bounce in energy, the overall fall would have been 3.7 percent. All the main import categories also lost ground, notably energy (minus 9.8 percent).

The merchandise trade balance measures the difference between imports and exports of goods. The level of the international trade balance, as well as changes in exports and imports, indicate trends in foreign trade and can offer a guide to an economy's competitiveness.

Changes in the level of imports and exports, along with the difference between the two (the trade balance) are a valuable gauge of economic trends here and abroad. While these trade figures can directly impact all financial markets, they primarily affect currency values in foreign exchange markets.

Separate reports are published for external and internal EU trade. The extra-EU trade data are compiled on the basis of customs declarations with non-EU countries. The intra-EU trade data (Intrastat) are derived from surveys and provide statistics on trade between Italy and other EU member states. The data are available monthly. World trade data are available within one month after the reference month while intra-EU trade data are available within 7 weeks after the reference month.