Brazil Trade Surplus Widens in August

Brazil posted a USD 2.69 billion trade surplus in August of 2015, up from last year’s USD 1.17 billion surplus but below market expectations, as exports fell at a slower pace than imports.
MDIC | Joana Ferreira | 9/2/2015 12:08:22 AM
Exports shrank by 24.3 percent year-on-year to USD 15.49 billion from USD 20.47 billion. Commodities sales fell 25.3 percent, manufactured goods decreased by 24.8 percent and semi-manufactured goods declined 15.3 percent.

Exports to Eastern Europe, European Union and China shrank 35.6 percent; 29.1 percent; and 21.5 percent, respectively. In addition, those to Middle East and Argentina contracted 16.1 percent and 11.9 percent each. 

Imports contracted at a faster 33.7 percent to USD 12.80 billion from USD 19.30 billion in August 2014. Imports of fuels and lubricants shrank 64.9 percent and purchases of raw materials and intermediate goods fell 32.8 percent. Also, consumer and capital goods contracted 21.9 percent and 21.5 percent, respectively.

Imports from Africa, Middle East and Eastern Europe shrank 64.6 percent; 56.9 percent; and 43.5 percent, respectively. Those from Argentina and the US contracted 39.9 percent and 31.8 percent each. Purchases from Euro Area also declined by 27.6 percent and from China went down by 22.1 percent.

So far this year, Brazil posted a USD 7.30 billion surplus, as the weaker real boosted exports and the lower domestic demand affected imports.

Brazil Trade Surplus Widens in August