Argentina. The South American country recorded a deficit of 384 million dollars in its trade with Brazil, marked by a sharp increase in imports from the automotive sector.
With this result, the country accumulates seven consecutive months of negative balance in its bilateral trade with Brazil, a trend that contrasts with the deficit of 221 million dollars recorded in the same month of 2024.
According to a report by Abeceb, the total trade flow between the two countries reached 2,493 million dollars in February, which represents an increase of 50.5% year-on-year, the largest increase in the last five years. This growth was largely driven by the dynamism of the automotive sector, both in imports and exports.
Argentine imports from Brazil totaled 1,438 million dollars in February, registering an increase of 53.3% year-on-year. 70% of this increase is explained by higher purchases of vehicles and auto parts, which totaled an additional 352 million dollars compared to the same month of the previous year.
Among the most outstanding items within the automotive sector are:
- Passenger vehicles: grew by 171.2% year-on-year, reaching 349.4 million dollars.
- Cargo vehicles: increased by 95%, with imports of 88.6 million dollars.
- Road vehicles: registered an increase of 197.5%, reaching 65.6 million dollars.
- Piston engines and their parts: increased by 40.8%, with purchases of 42.3 million dollars.
- Parts and accessories of motor vehicles: grew by 29.4%, totaling 144.1 million dollars.
Argentine exports growing, but insufficient
On the export side, Argentina sent Brazil products totaling 1,054 million dollars in February, which represents an increase of 46.9% year-on-year. This growth has allowed exports to accumulate nine consecutive months of increases, although they were not enough to compensate for the increase in imports.
The automotive sector also played a key role in the growth of Argentine exports. Foreign sales of vehicles and auto parts totaled an additional 254 million dollars, which represents 76% of the total increase in exports.
In cumulative terms, in the first two months of 2025, Argentine exports to Brazil increased by 28.2% compared to the same period in 2024. However, the trade deficit in this period reached $711 million, representing a reduction of $518 million from the first two months of last year.
The increase in Argentine imports from Brazil occurs in a context of recovery in bilateral trade, with a growing demand for vehicles and auto parts. However, the persistence of the trade deficit poses challenges for Argentina, which remains heavily dependent on imports of key inputs for its industry.
The negative balance in trade with Brazil has remained constant in recent months, and analysts warn that, although the growth of exports is a positive sign, the high level of imports could continue to affect the trade balance in the coming months.
