Wednesday, March 2nd 2016 - 22:39 UTC

Brazil posts trade surplus in February, as imports plummet with a weak Real

Brazil posted a $3.04 billion trade surplus in February, the Trade Ministry said on Tuesday. Brazil exported $13.3 billion last month and had imports of $10.3 billion.Analysts are expecting a $40 billion trade surplus for 2016, according to a central bank survey released Monday.

Brazil posted a $3.04 billion trade surplus in February, the Trade Ministry said on Tuesday. Brazil exported $13.3 billion last month and had imports of $10.3 billion.

 Brazil mainly exports commodities such as iron-ore, soybeans, oranges, sugar and meat. The recent decline in global commodity prices hurt trade, but a sharp fall in imports more than offset that factor on the overall trade balance.

Brazilians are buying less from abroad as a result of the currency's sharp depreciation. The Brazilian real weakened around 40% over the past year.

Containerized exports from China to Brazil of goods ranging from automotives to textiles fell 60% in January compared with a year earlier as the weak Real limits Brazilians’ ability to buy imported goods, according to Maersk Line, the world’s largest shipping company.

Containerized exports from Brazil into Asia, mainly China, increased by 13% for dry goods and 18% for refrigerated goods in the fourth quarter of 2015 compared with a year earlier, the shipping line said.

Statistics from Brazil’s ministry of development, industry and trade show overall total trade between China and Brazil in 2015 was $66.3bn, down from a record high of $83.3bn in 2013.

11 comments Feed

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1 T_Paine (#) Mar 02nd, 2016 - 11:22 pm Report abuse
Whew those numbers are frightening.

Glug glug glug
2 Skip (#) Mar 03rd, 2016 - 03:56 am Report abuse
Why?

A weaker currency promotes exports and makes imports expensive. It is the benefit of a weaker currency.

It can, not saying it will in Brazil's case, potentially lead to import substitution and the creation of new export markets.

It is not all rosy news out of IS and the opposite in every other country, no matter how narrow-minded and deluded you are.
3 L0B0MAU (#) Mar 03rd, 2016 - 10:54 am Report abuse
May be by 2'016-End, the export-figures can improve further when US$ reaches R$ 5 or higher.
4 T_Paine (#) Mar 03rd, 2016 - 11:10 am Report abuse
2. You're a simpleton, a small depreciation may work in the short term IF you don't import assembly parts for your mfg, Brazil imports almost everything for their mfg base.
Depreciating Rial at this point will only drive up inflation its already at 11%
Much more and they'll never get it down
They'll be in a wage spiral they'll never get out of

Exports will never improve, they were already at the top before their market crashed. Now they can't afford to maintain or grow it.

Do either of you read current news other than here?
5 L0B0MAU (#) Mar 03rd, 2016 - 11:34 am Report abuse
In any case;
#1: No one can stop The Exchange-Rate from skyrocketing
#2: Historically, Brazil is used to hyperinflation
6 T_Paine (#) Mar 03rd, 2016 - 11:44 am Report abuse
The gov't before Lula stopped it and put the country on the path to prosperity. This current gov't has taken all the gains and flushed them down the toilet.
7 L0B0MAU (#) Mar 03rd, 2016 - 01:02 pm Report abuse
Be ready for:
#1- R$ heading for US$ = R$ 6 in 2'017
And; any ANY moment:
#2- Declaration of some sort of “Emergency”
#3- “Collor-Style” Theft [golpe]
8 T_Paine (#) Mar 03rd, 2016 - 01:05 pm Report abuse
Lots of people calling for The IMF to step in.
They don't think the current gov't has the will to stop this mess before its too late

its already too late
9 L0B0MAU (#) Mar 03rd, 2016 - 02:22 pm Report abuse
It was already too late when the govt. first admitted - officially - that the economy is in crisis - since 2'015!

It's time for Brazil to legalize corruption!

If not; the cases of scandals and the crisis originating from the corruptions will be never-ending; which holds the country at-halt and at ransom.

After all; the laws are made by the corrupt & the crooks; to protect their own interests! So officializing corruption is just around the corner!

Secondly, the corrupt will ultimately escape scot-free due the “insufficient evidence”.

I'm sure that a vast majority has already noticed that each one of the govt. owned Projects [so called “assets”] in reality are nothing but “liabilities” which are specifically created to increase the illegal-wealth of the corrupt at both the ends.
10 Skip (#) Mar 03rd, 2016 - 08:53 pm Report abuse
Who is calling for the IMF to step in? A think tank? You just conflate everything overseas and minimise everything at home. So simple.

Too late for what? A deep recession? It's already happening. Indeed, didn't the US just have one? Why didn't a US recession destroyed everything? Why didn't the weak US dollar last forever?

Amazingly the US can survive recessions buy they'll absolutely destroy everyone else. So simple.

The market is setting the exchange rate.... isn't that supposed to happen? Fighting the market doesn't win.

I spoke about import substitution you jumped straight to manufacturing.

Yankeeboy, you keep twisting parts of a story to suit your 'predictions'. And other than the ones we can all see like corruption going deeper and Brazil having a recession, you don't actually predict anything that then actually happens.

Here's my predictions:
• there will be more corruption found
• Brazil's recession will eventually end
• the Real will eventually reverse and stregthen
• the EU will sign a trade deal with Mercosur
• Dilma's presidency will end.

Wow this prediction stuff is really easy.... see why it appeals to a moron like you. It took the simple election of a new president in Argentina to destroy the vast majority of your 'predictions' for that country.
11 L0B0MAU (#) Mar 03rd, 2016 - 09:07 pm Report abuse
Recovery Eludes Brazil Economy After Biggest Dive in 25 Years:
www.bloomberg.com/news/articles/2016-03-03/brazil-s-economy-shrinks-less-than-forecast-in-fourth-quarter

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