RIO DE JANEIRO, BRAZIL – Bilateral trade between Argentina and Brazil was US$2.9 billion in the sixth month of the year, 46.9% higher than the value obtained in the same period of 2021, when it had been US$ 2 billion, according to a report by the Argentine Chamber of Commerce (CAC).
Likewise, the exchange increased 9.2% compared to May 2022 due to the increase of 8.5% in imports and 9.9% in exports.
Argentine sales to Brazil increased in June 2022 by 38.2% compared to June 2021, totaling US$1.4 billion and continuing with the positive trend of the previous months, while imports from that destination amounted to US$1.6 billion and showed a 55.1% year-on-year increase.
Thus, the trade balance for Argentina showed a deficit, for the sixth consecutive month, of US$248 million, a situation not observed since 2018, the last period with more than six months of the year with a trade deficit (eleven consecutive months showed a negative bilateral balance).
Trade between both countries accumulated a negative balance for Argentina of US$1.3 billion in the first six months of the year because exports grew 17.6% in 2022 compared to the first six months of 2021, while imports from Brazil increased by 33.3% in the same period.
The year-on-year increase in Argentina’s exports to Brazil recorded in June (38.2%) corresponded mainly to the rise in passenger motor vehicles, unmilled wheat and rye, motor vehicles for the transportation of goods and special uses, motor vehicle parts and accessories, and piston engines and their parts.
The year-on-year increase in Argentine imports (55.1%) was mainly explained by petroleum fuel oils and bituminous minerals, passenger motor vehicles, iron ores and their concentrates, and motor vehicle parts and accessories.
SUPPLIERS
Argentina ranked third among Brazil’s largest suppliers, behind China, Hong Kong, and Macao (US$4.7 billion) and the United States (US$4.4 billion).
Argentina ranked third among Brazil’s main buyers, behind China, Hong Kong, and Macao (US$9.4 billion) and the United States (US$4 billion).
Brazil’s exports to the world increased by 15.6% in June 2022 compared to the same month of 2021, going from US$28.3 billion to US$32.7 billion.
On the other hand, total imports grew by 33.7% compared to those recorded a year ago (US$17.8 billion in 2021 vs. US$23.9 billion this year).
Thus, the Brazilian trade result was in surplus – for the fifth consecutive month – in US$8.8 billion, a situation similar to the one observed in June 2021, although with a lower nominal value. In 2021, the positive balance had been US$10.4 billion.
Market expectations surveyed in June by the Central Bank of Brazil improved compared to the previous month’s expected growth for 2022 (1.59% vs. 1.42%).
Likewise, the expectation for price increases decreased to 7.67%, from 8.5% annualized in the previous month. They expect the Selic interest rate to reach 13.75% (currently at 13.25%) to contain inflation.
With information from Ámbito