São Paulo – After posting a surplus in April and in the first three weeks of May, Brazilian trade balance closed the fourth week with a deficit of US$ 1.134 billion. According to the results of the period released this Monday (26th) by the Ministry of Development, Industry and Foreign Trade (MDIC), exports between the 19th and the 25th amounted to US$ 4.349 billion and imports reached US$ 5.483 billion.
A total of US$ 869.8 million were exported, by the daily average, in the fourth week, according to the MDIC, a decline of 16% in comparison to the third week, when US$ 1.035 billion were exported, by the daily average. Imports rose 14%, by the daily average, from US$ 962.7 million until May’s third week to US$ 1.096 billion in the fourth week.
Exports declined in all product categories between the 19th and the 25th. Among basic goods, the decline of 17.2% was a result of lower shipments of soybean, iron ore, crude oil, poultry, beef and pork.
Semi-manufactured product exports were down 16.4%, due to a decrease in shipments of leather and hides, raw sugar, semi-manufactured iron and steel, semi-manufactured gold and raw soy oil. For manufactured products, the decline was 16.2%, as a result of lower shipments of vehicle parts, land leveling machines and equipment, engines and electric generators, plastic polymers, and pumps and compressors.
The increase in imports, according to the MDIC, was driven by purchases of fuel and lubricants, vehicles and parts, pharmaceuticals, rubber, cereals and milling products.
A change in behaviour
After having posted consecutive deficits in Q1, the Brazilian trade balance started to show signs of recovery in April. Last month, the surplus reached US$ 506 million. In the first two weeks of May surplus reached US$ 226 million and, in the third week, rose to US$ 563 million. With last week’s results, however, May is posting a deficit of US$ 345 million.
Year-to-date through the fourth week of May, there is a trade deficit of US$ 5,911 billion. In the same period last year, the deficit was US$ 4.628 billion, according to the MDIC.
*Translated by Rodrigo Mendonça
