Brazil electronics industry faces USD 15.21bn deficit in 2022

The electronics industry trade balance in Brazil reached a deficit of US$ 15.21 billion up to May, 8.5% higher than the result recorded in the same period in 2021 (US$ 14.02 billion). This result was due to the 19.6% increase in exports, which totaled US$ 2.57 billion, and the 10.0% increase in imports, which totaled US$ 17.77 billion. The data are from the Brazilian Association of Electrical and Electronics Industry (Abinee).

From January to May 2022, exports of electronic products totaled US$ 2.57 billion, 19.6% more than in the same period last year (US$ 2.15 billion). There was growth in all areas of the sector, with the highest rate occurring in Electrical Installation Material (+57.2%).

In this case, the performance was influenced by the 345% expansion in foreign fuses sales, which rose from US$ 933 thousand in January-May 2021 to US$ 4 million in the first five months of 2022.

Exports of Electrical and Electronic Components grew 13.0%, totaling US$ 1.1 billion. This result was mainly due to the increase in exports of embedded electronics (+19%) – the second most exported product in the sector -which reached US$ 291 million.

Also important were exports of components for industrial equipment (US$ 252 million), components for electrical installation material (US$ 134 million), hermetic motor compressors (US$ 134 million), passive components (US$ 72 million), and components for industrial automation (US$ 61 million).

It is worth noting that all these items are among the ten most exported products by the electronics industry in Brazil.

The 87% growth in international sales of motors and generators totaled US$ 314 million, making it the largest exported commodity in the category. This growth contributed to a 45.5% increase in Industrial Equipment exports.

Also important were the increases in exports of Telecommunications (+42.2%), IT (+34.7%), Industrial Automation (+15.7%), GTD (+5.0%) and Household Utilities (4.5%).

Imports

According to data released by Abinee, the electronics industry in Brazil imported the equivalent of US$ 17.77 billion in the first five months of 2022, a result 10.0% higher than in the same period of 2021 (US$ 16.16 billion). The highest growth rate occurred in GTD  products(+95.0%), mainly driven by the increase in external purchases of photovoltaic modules (+131%), which reached US$ 2.1 billion.

Photovoltaic modules occupy the second position in the ranking of most imported products in the sector, after semiconductors (US$ 2.8 billion).

Notably, the imported amount of photovoltaic modules in the first five months of this year surpassed the total amount imported in the eleven first months of 2021. It is also worth remembering that in January-November 2021, imports of these items reached US$ 1.9 billion.

Semiconductor imports (+26%) led to a 3.4% increase in foreign purchases in Electrical and Electronic Components, totaling US$ 8.9 billion.

In addition, component imports also increased in terms of purchases of telecommunication components (US$ 1.3 billion), IT components (US$ 1.0 billion), onboard electronics (US$ 989 million), and components for industrial equipment (US$ 613 million).

There was also growth in imports of IT goods (+19.3%), Industrial Equipment (+9.2%), Industrial Automation (+3.2%), and Electrical Installation Equipment (+2.6%).

On the other hand, the areas of Household Utilities (-17.7%) and Telecommunications (-7.6%) showed a retraction in imports. There were decreases in external purchases of electrothermal cookware (-28%) and digital routers (-57%), respectively.

Source: Comex do Brasil

To read the full original article, please go to: https://www.comexdobrasil.com/balanca-comercial-de-produtos-eletricos-e-eletronicos-acumula-deficit-de-us-1521-bilhoes-ate-maio/

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