Bilateral trade between Argentina and Brazil totaled US$ 1.743 million last July, with a surplus for our country of US$ 71 million after two consecutive months of deficit, according to data released this Tuesday (06.08.2019/XNUMX/XNUMX) by the Argentine Chamber of Commerce and Services.
In a statement, the entity indicated that bilateral trade was 17,4% less than the value recorded the previous year, a consequence of the contraction of both Argentine imports from Brazil (27,9%) and local exports to that destination (4,6%), which totaled US$ 836 million and US$ 907 million, respectively.
«In this sense, the trade balance for Argentina showed a surplus - after two consecutive months of deficit - of US$ 71 million, which implied a significant change in direction compared to the deficit of US$ 208 million shown in July 2018," the institution said.
The decrease in Argentina's exports to Brazil (4,6%) corresponded to passenger vehicles, wheat grains and plastic polymers, while the decline in Argentine imports (27,9%) was mainly explained by passenger cars, cargo vehicles and soybeans.
In addition, Argentina ranked fourth among Brazil's largest suppliers., behind the United States (US$ 3.144 million), China, Hong Kong and Macao (US$ 2.868 million) and Germany (US$ 974 million).
Regarding the main buyers of Brazil, Argentina was ranked third behind China, Hong Kong and Macao (US$ 6.002 million) and the United States (US$ 2.672 million).
As for the year to date, after seven months the exchange between both economies fell by 24,3% reaching US$ 12.165 million, while Argentina's trade balance reversed its sign, showing a surplus of US$ 261 million compared to the deficit of US$ 3.877 million in the same period of 2018.
"This performance is due to the increase in Argentine exports to Brazil (1,8%) and the collapse of Argentine imports (40,3%) in this period," said the Argentine Chamber of Commerce and Services.
Finally, he indicated that "the outlook for South America's main economy is uncertain, although last week the Central Bank maintained growth estimates for the first time at 0,83% (the trend of 20 consecutive declines was interrupted) and this week it cut the Selic reference interest rate by 50 basis points to encourage private investment and consumption."
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