Asia passes European Union to become largest exporting bloc to Brazil

13 July 2006

Sao Paulo, Brazil, 13 July – Asia, driven by China, in the last year passed the European Union (EU) to become the economic bloc that exports that greatest amount of goods to Brazil, officials said Wednesday.

In the last 12 months, Asian countries exported around US$20 billion in goods to Brazil, surpassing the amount exported by the EU, which was US$18.7 billion.

Between June 2005 and June 2006, Asian exports rose 37.7 percent against the 6.8 percent rise in exports from the EU, Brazil’s Ministry of Development, Industry and Commerce.

Asia’s sales were mainly driven by exports from China to Brazil, which increased by 46.4 percent in the period, to US$6.6 billion.

China has already passed Argentina to become the second-largest exporter to Brazil, after the United States.

In the last 12 months, the US sold US$13.5 billion’s worth of goods to Brazil, which is the equivalent of 16.7 percent of all imports to Brazil.

The rate of increase in Chinese exports to Brazil, meanwhile, has been much greater than that posted by US exports, which rose just 11.3 percent in the period.
Last year, total trade between Brazil and China rose 33 percent to US$12.18 billion, against 2004, with Brazil posting a surplus of US$1.48 billion.

In May this year China, however, China for the first time posted a trade surplus with Brazil. (macauhub)