Brazil-US trade flow reach record USD 42.7bn with USD 7.4bn deficit

Brazil-US trade flow set a new record in the first half of 2022, according to the most recent edition of Amcham’s “Brazil-US Trade Monitor.” The study indicates that trade between the two countries amounted to US$ 42.7 billion in the period, an increase of 43.2% from the first half of last year.

“Bilateral trade remained very heated in the first half of the year. The increase in international prices and, to a lesser extent, the rise in demand for key products bilaterally traded resulted in values never seen before in Brazilian imports and exports to the United States,” said Abrão Neto, executive vice president of Amcham Brazil.

Conflict in Ukraine boosts Brazilian exports in the energy sector

The hostilities in West Asia between Russia and Ukraine directly influenced the export of energy and fuel supplies, including oil and derivatives, fertilizers, and chemical inputs. As a result, demand for these items from other nations has surged significantly, particularly in Brazil.

According to Amcham’s Trade Monitor, energy goods accounted for 43.7% of national imports by the United States, including fuels and petroleum derivatives, natural gas, crude oil, and coal. The demand for Brazilian items was so strong that exclusive exports to the United States increased by 52.4 percent over the previous semester.

Imports on the rise

At the same time, imports of American products to Brazil also increased. As a result, the value difference between imports and exports resulted in a deficit of US$ 7.4 billion for Brazil, going down in history as Brazil’s largest with any trading partner in 2022.

Please find below a chart displaying the volume of the exports and imports between the US and Brazil from January 2021 to May 2022. The data below is from the platform DataLiner.

Brazil – US Trade | Jan 2021 – May 2022 | TEUs

Source: DataLiner (click here to request a demo)

Source: Comex do Brasil

To read the full original article, please go to: https://www.comexdobrasil.com/comercio-brasil-eua-fecha-segundo-semestre-com-recorde-de-us-427-bilhoes-e-deficit-historico-brasileiro-de-us-74-bilhoes/

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