Brazil Trade Surplus Widens in May

Brazil's trade surplus widened to USD 6.42 billion in May 2019 from a USD 6.07 billion in the same month of the previous year but below market expectations of a USD 6.7 billion surplus. It was the largest monthly surplus so far this year. Imports rose 12.9 percent year-on-year and exports advanced 10.7 percent.

Exports jumped 10.7 percent from a year earlier to USD 21.39 billion in May 2019, mainly driven by higher sales manufactured goods (35.6 percent), namely fuels (197.3 percent); iron ore (168 percent); and engine parts and turbines for aircraft (151.8 percent); aircraft (75.6 percent); and tires (47.3 percent). Also, sales of semi-manufactured good rose 20.9 percent, of which cast iron (92.3 percent); iron & steel (73 percent); soybean oil (68.6 percent); gold (23.5 percent) and raw zinc (23.3 percent). Additionally, exports of basic products went up 0.7 percent, boosted by crude oil (0.2 percent) and iron (15.8 percent). 

Among major trading partners, exports rose to the US (67.6 percent), the EU (15.3 percent) and ASEAN countries (60.3 percent), but fell to China (-13.4 percent) and Argentina (-17.6 percent). 

Imports went up 12.9 percent to USD 14.97 billion, mainly due to higher purchases of intermediate (11.5 percent); capital goods (21.9 percent) and fuels & lubricants (33.6 percent). On the other hand, purchases of consumption goods dropped 2.1 percent.

Among major trading partners, imports increased from China (16.1 percent), the US (31 percent), ASEAN countries (5.5 percent), and Argentina (12.6 percent), while they declined from the EU (-3 percent). 

Considering the first four months of 2019, the country recorded a USD 22.81 billion trade surplus. 

 Brazil Trade Surplus Widens in May

MDIC | Stefanie Moya |
6/3/2019 6:57:53 PM