São Paulo – Brazilian machinery and equipment exports were down 8% in August from August 2013, according to figures released this Wednesday (24th) by the Brazilian Machinery and Equipment industry Association (Abimaq). In August from July, exports were also down, by 6.7%. Export revenues reached US$ 1.14 billion in August.
Year-to-date through August, however, the industry’s exports are on the way up. Exports increased by 14% year-to-date through August from the same period in 2013, to US$ 9 billion. The performance is an all-time best ever since Abimaq started keeping records. In the period, export revenues accounted for 45.1% of overall industry revenues, as against a historical average of 32%.
A significant factor in the decline of exports in August was components for the capital goods industry, whose foreign sales were down 25.6%. The sector answered to 26.6% of overall machinery and equipment exports. Year-to-date, exports have increased, highlighting infrastructure and base industries, whose exports were up 40.7% and accounted for 22% of overall machinery and equipment exports.
The United States contributed the most to the increase in exports from Brazil year-to-date through August. Sales to the country were up 41.7% from the same period in 2013. Exports were up 23.1% to Europe and down 6.1% to Latin America. The latter is the leading foreign destination for Brazilian machinery and equipment, followed by the United States and Europe.
Capital goods industry revenues were down 28.7% in August, to R$ 5.3 billion (US$ 2.2 billion), according to Abimaq. In August from July, revenues were down 5.5%. Year-to-date through August, capital goods industry revenues reached R$ 45.9 billion (US$ 19 billion), down 16.6% from the same period in 2013.
*Translated by Gabriel Pomerancblum
