China supplies 22% of Brazil’s imports

The main source of Brazilian imports since 2019, China continued to advance on Brazilian foreign trade in 2020. According to a survey released by the National Confederation of Industry (CNI), the Asian country was responsible for 21.9% of Brazilian foreign purchases last year, with advances in technology products.

Over the past 15 years, China has made considerable progress in foreign trade. In 2006, the country supplied 8.6% of Brazilian imports. The European Union was traditionally the main supplier of products to Brazil but is now supplying less; in 2020, its share participation dropped from 20.3% in 2006 to 19.1% in 2020.

In the same period, the United States maintained relatively stable participation in Brazilian imports, with a slight increase from 15.7% to 17.6%, maintaining the third position. The main loser in supplying of Brazilian imports was South America. From a second place in 2006, supplying 17.6% of Brazil’s foreign purchases, the continent fell to fourth place, supplying just 11.4% in 2020.

See the five main origins of Brazilian imports in the chart below, according to DataLiner:

Top 5 Origins of Brazilian Imports | Jan to Dec 2016-2020 | TEU

Graph source: DataLiner (click here to request a demo)

Industry

In addition to increasing its exports to Brazil, China also began to sell increasingly sophisticated products, distancing itself from the image of an exporter of simple industrialized goods. By analyzing 15 industry sectors, the survey found that China’s imports grew in 11 sectors, remained stable in 3 sectors, and fell in just 1 sector.

The most advanced sectors in China from 2006 to 2020 were: machinery and equipment (from 10% to 23%); chemical products (from 10% to 29%) and electrical materials (from 24% to 50%). Even segments that were not traditionally supplied by the Asian country conquered significant market shares: vehicles and automobiles (from 2% to 11%) and fine chemicals (from 1% to 14%).

At the same time, Brazilian industries began to buy less and less from other regions and other countries. Of the 15 sectors surveyed, 11 sectors started to import less from the European Union and Japan and 13 started to import less from South America and the United States.

 

Source: Agência Brasil

 

To read the full original article, access the link below:

 

https://agenciabrasil.ebc.com.br/economia/noticia/2021-06/china-ampliou-lideranca-na-origem-de-importacoes-brasileiras-em-2020

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