FX.co ★ Iceland Trade Gap Smallest in 7 Months

In August 2025, Iceland's trade deficit stood at ISK 33.8 billion, a reduction from ISK 35.2 billion in August of the previous year. This represents the smallest trade deficit since January of the same year. Export levels fell by 5.1% compared to the previous year, reaching ISK 67.1 billion. This decline was largely attributed to decreased exports of farmed fish by 25.1%, manufactured goods by 16.3%, and agricultural products by 1.6%. On the other hand, imports dropped by 4.8% to ISK 100.9 billion. This was a result of reduced imports in categories such as fuels and lubricants, which plummeted by 30.9%, transport equipment down by 22.8%, and industrial supplies which fell by 7.5%. In contrast, there was a significant increase in the importation of capital goods, rising by 33.5%.