FX.co ★ Portugal’s Trade Deficit Widens Sharply as Exports Plunge

Portugal’s trade deficit widened to €2.51 billion in January 2026, compared with €1.73 billion in the same month a year earlier, as exports contracted more sharply than imports. Exports fell 14.1% to €6.06 billion — the steepest annual decline since the post‑COVID‑19 downturn in 2020 — largely reflecting a 27.5% drop in industrial supplies, driven in particular by lower chemical sales to Germany. Exports of fuels and lubricants also plunged 33.5%. Imports decreased more moderately, slipping 2.5% to €8.57 billion and marking a fourth consecutive monthly decline, mainly due to reduced purchases of industrial supplies, especially chemicals from Ireland.