China advances in consumer goods and now holds 26% of Brazilian imports

Brazil’s dependency on U.S. products closed the first half near the lowest level in a decade in a market increasingly dominated by China, even in consumer goods such as cars, motorcycles, freezers, and stoves.

Brazil imported US$ 21.7 billion from the U.S. from January to June, an increase of 11.5% compared to the same period in 2024, but this figure represents just 16% of the country’s total imports—better only than the 15.5% seen in the first half of last year over the previous ten years. In 2022, that share was 19.3%. With the search for new markets under threat from Donald Trump’s tariffs, China sold US$ 35.7 billion in the first six months of this year—26.3% of Brazil’s total imports—a historic record and a 22.2% increase.

China became last year the largest exporter of cars to Brazil, even with tariffs on electric vehicles. But China’s massive entry also covers home appliances and electronics, gaining importance in the sector.

Since early last year, the import of electric and hybrid cars has been subject to tariffs. For battery-electric vehicles (BEVs), the rate rose from zero in 2023 to 10% in early 2024 and is now 18%. Even so, Chinese cars—chief targets of the tariff increase—remain Brazil’s most imported.

In the first half of this year, Brazilian imports of Chinese vehicles totaled US$ 2.05 billion, down from US$ 2.58 billion in the same months of 2024 but up 713% compared to 2023. Argentina, a traditional supplier, lagged far behind this year at US$ 844 million.

From 2022 to 2025, Brazil advanced from the 17th-largest market for Chinese vehicles to sixth, now accounting for 5.6% of the total.

A similar pattern emerges in many home and electronic appliances found in Brazilian homes. In the year with the second-hottest summer in the country’s history (after only 2024), imports of air conditioners from China totaled US$ 498.5 million from January to June—a 67% increase compared to the same period in 2024, which already saw a 64% rise year-on-year. Brazil rose from the 15th-largest buyer to the seventh from 2022 to 2025.

Imports of Chinese-made vacuum cleaners totaled US$ 51 million in the first half—a 26% increase from the same period in 2024.

Even where import values didn’t increase, China remains the preferred supplier this year. Imports of electric stoves, grills, and pans reached US$ 98.2 million—less than last year’s US$ 113.7 million—but dwarfed the next-largest supplier, Germany, at just US$ 2.3 million. Ready-made televisions (excluding parts) from China totaled US$ 65.6 million, with Hong Kong second at US$ 7.1 million. Cell phones—including parts—totaled US$ 650.6 million from China, with Vietnam in second place at US$ 291.5 million.

Chinese trade statistics show that Brazil is becoming an increasingly important customer of these goods. Brazil rose from 17th in 2022 to the sixth-largest recipient of Chinese TVs this year. For stoves and pans, it moved from 16th to 12th. In garment irons, Brazil rose from 19th in 2022 to 6th in 2025 (January–May).

Below is a historical overview of Brazil’s containerized imports from China starting in January 2022. The chart was prepared using DataLiner data:

Container Imports from China | Jan 2022 – May 2025 | TEUs

Source: DataLiner (click here to request a demo)

Lia Valls, professor at the State University of Rio de Janeiro (UERJ) and visiting researcher at the Brazilian Institute of Economics (FGV Ibre), explains that imports from China have risen steadily at rates well above Brazil’s total imports. In value terms, she adds, these imports are growing above average, but broken down by quantity and price, the volume from China is increasing much more.
In the 12 months through May, imports from China increased 25.7% in value (according to Secex/Mdic). According to FGV Ibre’s Foreign Trade Indicator (Icomex), the quantity imported from China rose 37.2%.

In the same period, total imports increased 12.2% in value and 16.7% in volume. From January to May, imports from China rose 35% year-on-year, versus a 12.4% rise in the total import volume.
However, average prices of Chinese imports have fallen—8.1% from January to May per Icomex data. Total Brazilian import prices fell only 2.6%.
“This combination of volume growth with price decline is peculiar to China,” says Valls. This didn’t occur with the U.S., where imports rose 13% in volume and prices remained stable (+0.2%) from January to May, per Icomex. The U.S. is Brazil’s second-largest supplier.

Brazil’s 2025 Chinese imports included a nonrecurring purchase of an oil platform in February. However, Icomex’s historical series indicates that the significant volume growth from China is a longstanding trend.

From 2015 to 2024, Brazil’s imports of Chinese goods grew 146.2%. U.S. goods rose just 1.12%, and Argentina’s by 21.9%. In the same decade, Chinese import prices fell 14.4%, while U.S. prices rose 50.9% and Argentine by 7.3%. Icomex data also show Brazilian imports from China in 2025 are seven times those of 2006—even though Chinese prices have climbed 14% since then.

José Augusto de Castro, president of the Brasilian Foreign Trade Association (AEB), says Brazilian imports have been more resilient than expected this year, partly because of China.

The high import volume contributed negatively to first-quarter GDP—a rare occurrence—says Livio Ribeiro, partner at BRCG and FGV Ibre associate researcher. “Even with the grain superharvest, we saw this negative contribution, which was totally unexpected,” he notes. IBGE confirms that exports and services grew 2.9% in Q1, but imports rose 5.9% (seasonally adjusted).

Secex data show China’s share of imports rose from 23.3% in Jan–Jun 2024 to 26.3% in the same months this year. Regardless of U.S. tariff policy, China will continue expanding its markets, says Castro: “The world is adjusting to this new China, a country that produces almost everything, competes on everything, with competitive prices everywhere.”

Ribeiro adds that Brazil’s trend depends less on Trump’s policies than on well-organized domestic lobbies to erect trade barriers. Because Brazil is well-lobbied, Chinese goods may flow more easily to Chile or Colombia than Brazil. “Brazil won’t be flooded,” he says.

China now faces weak domestic demand. With excess supply of goods seeking new markets, “China needs to find new destinations.”

Tulio Cariello, research director at the Brazil–China Business Council, says China’s leading Brazilian imports of vehicles are unsurprising. He notes gradual tariff hikes on electric vehicles are in place—and automakers began shipping in full first-half to beat the July hike. Currently, BEVs faced 18% tariff until June, rising to 25% in July and to 35% in July 2026.

Multiple Chinese brands, including GAC, Zeekr, Omoda & Jaecoo, and Leapmotor, are now entering Brazil, following BYD and GWM. “They saw a market for EVs here. And BYD made Chinese cars synonymous with electrification.”

Ribeiro explains EV imports are less price-sensitive—demand isn’t highly elastic. Even with tariffs, competition remains strong vs. pricier German or Swedish cars.

In appliances, Cariello notes years of Chinese investment. Foreign companies set up plants there, enabling Chinese firms to master manufacturing and compete—and in some cases surpass—on appliances like AC units. Competition among Chinese firms themselves also drives prices down.

China excels at rapid product development to win new markets—AEB’s Castro highlights. Secex data reflect this. For example, Italian-made dishwashers held US$ 42 million in imports in Jan–Jun 2022, rising to US$ 83 million in early 2025. Chinese imports more than doubled—from US$ 16.6 million to US$ 51.6 million—closing on Italy.

Cariello adds that in some categories, China leads, but Southeast Asian countries like Vietnam and Malaysia follow, offering lower-cost alternatives. China remains dominant as a final goods and input supplier. “From strategic minerals to components and design—China is present throughout the value chain.”

Source: Valor Econômico

Sharing is caring!