HUNGARY - Pakistan Trade

HUNGARY WAS PAKISTAN’S 101ST LARGEST EXPORT DESTINATION IN 2018 RANK COUNTRY EXPORT VALUE (US$) % SHARE IN TOTAL EXPORTS World 23,630,893,000 1 United States of America 3,802,500,000 16% 2 China 1,818,069,000 8% 3 United Kingdom 1,728,637,000 7% 4 Afghanistan 1,347,934,000 6% 5 Germany 1,310,444,000 6 United Arab Emirates 983,575,000 4% 7 Netherlands 942,802,000 8 Spain 922,898,000 9 Bangladesh 783,825,000 3% 101 Hungary 11,626,000 0.05% EU is Pakistan’s largest export market and the UK is the most important export market within the EU

HUNGARY WAS THE 24TH LARGEST EXPORT DESTINATION WITHIN THE EU IN 2018 The EU is Pakistan’s largest export market representing 34% of exports Hungary accounted for 0.1% of total EU exports from Pakistan in 2018. EU is Pakistan’s largest export market and the UK is the most important export market within the EU

HUNGARY RANKS NO. 67 IN PAKISTAN’S IMPORT SOURCES COUNTRY IMPORT VALUE (US$) % SHARE IN TOTAL IMPORTS World 60,162,862,000 1 China 14,544,687,000 24% 2 United Arab Emirates 8,668,637,000 14% 3 Saudi Arabia 3,242,349,000 5% 4 United States of America 2,946,715,000 5 Indonesia 2,502,372,000 4% 6 Qatar 2,386,183,000 7 Japan 2,273,024,000 8 India 1,928,465,000 3% 9 Thailand 1,430,727,000 2% 67 Hungary 32,253,000 0.05% EU is Pakistan’s largest export market and the UK is the most important export market within the EU

WITHIN THE EU, HUNGARY WAS THE 16TH HIGHEST EXPORTER TO PAKISTAN IN 2018 EU is Pakistan’s 3rd largest import partner after China and UAE. Imports from the EU stood at $5.46 billion in 2018. Hungary accounts for 0.6% of Pakistan’s imports from the EU and 0.05% of total imports from the world. The UK is the second most important import supplying market of Pakistan in the EU

PAKISTAN HUNGARY Trade Trends Bilateral trade has remained the same US$ 44 Mn from 2014 to 2018. Pakistan’s exports to Hungary fell by 0.6% during this period. Meanwhile, Hungary’s exports to Pakistan rose by 3.2% during the last four years. The trade balance in 2018 has remained more or less the same.

PAKISTAN’S TOP 10 EXPORTS TO HUNGARY HS CODE DESCRIPTION EXPORT VALUE 2016 (US$) EXPORT VALUE 2017 (US$) EXPORT VALUE 2018 (US$) 901890 Instruments and appliances used in medical, surgical or veterinary sciences, n.e.s. 490,000 897,000 1,331,000 520852 Plain woven fabrics of cotton, containing >= 85% cotton by weight and weighing > 100 g to 200 ... 1,913,000 1,241,000 969,000 411200 Leather further prepared after tanning or crusting incl. parchment-dressed leather", of sheep ... 486,000 886,000 801,000 521021 Plain woven fabrics of cotton, containing predominantly, but < 85% cotton by weight, mixed ... 642,000 705,000 664,000 520821 Plain woven fabrics of cotton, containing >= 85% cotton by weight and weighing <= 200 g/m², ... 41,000 220,000 602,000 520831 Plain woven fabrics of cotton, containing >= 85% cotton by weight and weighing <= 100 g/m², ... 314,000 266,000 541,000 411310 Leather further prepared after tanning or crusting "incl. parchment-dressed leather", of goats ... 485,000 446,000 431,000 420310 Articles of apparel, of leather or composition leather (excluding clothing accessories, footware ... 570,000 313,000 364,000 520851 99,000 208,000 360,000 520822 328,000 521,000 349,000

PAKISTAN’S TOP 10 IMPORTS FROM HUNGARY HS CODE DESCRIPTION IMPORT VALUE 2016 (US$) IMPORT VALUE 2017 (US$) IMPORT VALUE 2018 (US$) 847290 Office machines, n.e.s. 836,000 6,339,000 4,785,000 841199 Parts of gas turbines, n.e.s. 16,831,000 31,610,000 3,719,000 630900 Worn clothing and clothing accessories, blankets and travelling rugs, household linen and articles ... 2,709,000 2,930,000 3,349,000 293349 Heterocyclic compounds with nitrogen hetero-atom[s] only, containing in the structure a quinoline ... 3,412,000 250,000 2,236,000 870322 Motor cars and other motor vehicles principally designed for the transport of persons, incl. ... 1,944,000 2,692,000 1,952,000 300490 Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic purposes, ... 1,950,000 1,600,000 1,936,000 841090 Parts of hydraulic turbines and water wheels incl. regulators - 1,239,000 841370 Centrifugal pumps, power-driven (excluding those of subheading 8413.11 and 8413.19, fuel, lubricating ... 661,000 951,000 1,218,000 961900 Sanitary towels (pads) and tampons, napkins and napkin liners for babies, and similar articles, ... 994,000 767,000 954,000 392350 Stoppers, lids, caps and other closures, of plastics 903,000 853,000 548,000

ACTUAL EXPORTS IN 2018 (US$) POTENTIAL EXPORTS IN 2018 (US$) Pakistan’s Theoretical Potential* for Additional Exports to the Hungary, 2017 Top 10 Potential Products (HS 06). Aggregate Theoretical Potential $1.3 Bn HS CODE DESCRIPTION ACTUAL EXPORTS IN 2018 (US$) POTENTIAL EXPORTS IN 2018 (US$) 270900 Petroleum oils and oils obtained from bituminous minerals, crude - 262,067,000 271019 Medium oils and preparations, of petroleum or bituminous minerals, not containing biodiesel, ... 235,930,000 610910 T-shirts, singlets and other vests of cotton, knitted or crocheted 154,996,000 901890 Instruments and appliances used in medical, surgical or veterinary sciences, n.e.s. 1,331,000 124,560,000 410712 Grain splits leather "incl. parchment-dressed leather", of the whole hides and skins of bovine ... 24,000 109,666,000 390761 Poly"ethylene terephthalate", in primary forms, having a viscosity number of >= 78 ml/g 98,465,000 620342 Men's or boys' trousers, bib and brace overalls, breeches and shorts, of cotton (excluding ... 94,795,000 640399 Footwear with outer soles of rubber, plastics or composition leather, with uppers of leather ... 26,000 78,107,000 170199 Cane or beet sugar and chemically pure sucrose, in solid form (excluding cane and beet sugar ... 76,359,000 252329 Portland cement (excluding white, whether or not artificially coloured) 74,331,000 8 of the 10 high potential exports already benefit from 0% tariffs under GSP+. The two products that don’t are rice and sugar which are unlikely to receive preferential treatment even under an FTA *Theoretical potential from diverting Pakistan’s existing exports from other countries to meet Hungary’s imports, ignoring competitiveness and tariffs

ACTUAL IMPORTS IN 2018 (US$) Pakistan’s Theoretical Potential* for Additional Imports from the Hungary, 2017 Top 10 Potential Products (HS 06). Aggregate theoretical potential is $4.5 BN HS CODE ACTUAL IMPORTS IN 2018 (US$) POTENTIAL IMPORTS IN 2018 (US$) 271019 Medium oils and preparations, of petroleum or bituminous minerals, not containing biodiesel, ... 56,000 1,066,775,000 851712 Telephones for cellular networks "mobile telephones" or for other wireless networks - 585,651,000 870321 Motor cars and other motor vehicles principally designed for the transport of persons, incl. ... 517,623,000 890800 Vessels and other floating structures for breaking up 515,542,000 300490 Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic purposes, ... 1,936,000 430,860,000 390120 Polyethylene with a specific gravity of >= 0,94, in primary forms 298,870,000 870322 1,952,000 289,928,000 120510 Low erucic acid rape or colza seeds "yielding a fixed oil which has an erucic acid content ... 282,745,000 870323 388,000 266,337,000 851762 Machines for the reception, conversion and transmission or regeneration of voice, images or ... 15,000 242,727,000 In the high potential imports of Pakistan from the UK, most products already face tariffs similar to those faced by Pakistan’s FTA partners *Theoretical potential from switching imports from existing sources to Hungary exporters, ignoring competitiveness and tariffs