FX.co ★ Portugal Trade Gap Widens in May

In May 2025, Portugal experienced a widening trade deficit, reaching €3.217 billion, compared to €2.282 billion the previous year. This change was largely due to a 12.1% surge in imports, amounting to €10.231 billion, while exports only increased by 2.5% to €7.014 billion. The significant rise in imports was primarily attributed to a 31.3% increase in industrial supplies, particularly chemical products from Ireland and the Netherlands. Excluding these items, the growth in industrial supplies was a modest 1.5%. Moreover, imports of transport equipment, especially passenger cars, saw a substantial increase of 26.3%. In contrast, fuel imports experienced a sharp decline of 28.1%, driven by a 27.7% decrease in crude oil prices, despite unchanged volumes. On the export front, the growth was led by capital goods with an increase of 13.7% and transport equipment by 11.3%, notably to Spain and Germany. Nonetheless, exports of fuels and lubricants fell by 31.6%, particularly affecting trade with the US. Notably, exports to Spain and Germany grew by 7.1% and 12.7%, respectively, driven by robust demand for capital goods and transport equipment.