Colombia’s April Export Decline Exposes Tensions in Energy and Trade Policy

Official data from Colombia’s statistics agency, Dane, shows the country’s exports fell by 6.5% in April 2025 compared to the same month last year, reaching $4.12 billion.

This drop came mainly from a 33% decline in the export of fuels and extractive products, including a 19.9% decrease in crude oil shipments, which totaled 12 million barrels. Coal exports also fell by 37.5%.

These sectors have historically formed the backbone of Colombia’s export economy, making up 47% of total exports in 2024. The government extended a 1% surcharge on coal and crude oil exports for all of 2025.

Officials say this measure aims to fund security operations in violence-affected regions. The finance ministry expects the levy to raise at least two trillion pesos this year.

Industry groups warn the tax could threaten the survival of smaller mining firms and further erode Colombia’s competitiveness, given that coal and oil companies already pay a 35% income tax, the highest among OECD countries.

At the same time, Colombia’s administration has stopped awarding new hydrocarbon exploration contracts and is pushing for a rapid energy transition.

Colombia’s Export Economy at a Crossroads

The government has launched a $40 billion plan to reduce reliance on fossil fuels and invest in renewable energy, aiming for 50% of energy to come from renewables by 2030.

The plan also seeks to attract international investment and create new economic sectors, but the transition brings uncertainty for the country’s traditional export sectors.

While energy exports fell, agricultural products surged. Shipments of coffee rose by 86.6% and palm oil by 167.8%, helping the agricultural sector grow by 47.7% year-on-year in April.

Agriculture now accounts for nearly 34% of exports. The United States remains Colombia’s top export market, taking in about 32% of total shipments.

To support exporters, the government reactivated the CERT tax rebate, offering up to 5% reimbursement for high-value services and 3% for certain transformed goods. This measure targets innovation and aims to diversify exports, but its fiscal cost could reach 700 billion pesos in 2025.

Colombia’s export figures reveal a country at a crossroads. The government’s shift away from hydrocarbons and new taxes on extractive industries are reshaping trade.

While agriculture is gaining ground, the future of the country’s export earnings and industrial competitiveness remains uncertain as policy and market realities collide.

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