FX.co ★ Portugal Trade Deficit Widens in October

Portugal's trade deficit expanded to €2.80 billion in October 2025, a slight increase from €2.73 billion in October of the previous year. This movement in the trade balance was primarily driven by a 5.2% decline in exports, significantly impacted by a substantial 42.5% decrease in the export of fuels and lubricants. This was largely attributable to the shutdown of units at the country's national refinery. Additionally, exports of industrial supplies fell by 7.3%, mainly due to reduced chemical exports. There was also a notable reduction in exports to the United States, which plummeted by 42.6%. This drop was heavily influenced by tariffs imposed on pharmaceuticals and transactions related to contract manufacturing that did not involve a transfer of ownership. When excluding these specific transactions, the decrease in exports was more moderate, registering at 15.4%.

On the import side, there was a smaller decline of 3.0%. Purchases from Brazil saw a steep fall of 87.9%, predominantly due to reduced crude oil imports. Conversely, imports from China increased significantly by 29.8%, with heightened demand for fuels, lubricants, and industrial supplies leading this rise.

Over the first ten months of 2025, Portugal recorded a trade deficit totaling €26.9 billion, up from €22.7 billion during the same period in 2024, highlighting the widening gap in the country's trade balance.