Argentina - Germany Trade 2023 Q2: Widening Deficit

Key Market Takeaways: Argentina - Germany Trade

The bilateral trade relationship between Argentina and Germany shows volatility with a widening deficit in Q2 2023.

• Economic Pulse: Argentina posted a $512.43M trade deficit with Germany, driven by $696.08M in imports (mixed YoY performance) against $183.65M in exports (partial recovery after early-year declines).
• Exchange Structure: Argentina - Germany trade statistics reveal a resource-for-tech imbalance—82.87% of Argentina’s exports are raw materials (meat, unclassified goods), while 49.69% of German imports are machinery and precision instruments.
• Strategic Interdependence: Highly complementary but unequal: Germany holds the high-value position, supplying critical industrial inputs, while Argentina remains a niche supplier of primary goods.

This bilateral trade snapshot is based on verified customs data from the yTrade database.

Argentina-Germany Trade Trend in Q2 2023

Argentina Export Performance: Shipments to Germany

• Total Volume: $183.65M in Q2 2023.
• Growth Trend & Context:
  • YoY decline in April (-36.65%) and May (-22.92%), rebounding to +3.95% in June.
  • No specific trade news to explain the volatility.
• Key Volatility: June saw a sharp MoM surge (+25.23%), offsetting earlier weakness.

Argentina Import Performance: Sourcing from Germany

• Total Volume: $696.08M in Q2 2023.
• Growth Trend & Context:
  • Mixed YoY performance: April (-29.13%), May (+6.51%), June (-4.46%).
• Key Volatility: April imports plummeted MoM (-26.89%), with partial recovery in May (+14.38%).

Argentina - Germany Trade Balance & Market Dynamics

• Net Position: Trade deficit of $512.43M (Imports exceeded exports).
• Relationship Status: Heavy reliance on German imports, with exports recovering but insufficient to close the gap.

Argentina Import Trend from Germany 2023 Q2 (Source: yTrade)**

Argentina Export Trend to Germany 2023 Q2 (Source: yTrade)**

Get Historical Argentina Germany Trade Records

Argentina-Germany Top Trading Products in Q2 2023

Argentina Export Profile: What Does Argentina Sell to Germany

• Top Commodity: HS Code 99 (46.32% share) dominates exports, likely representing unclassified or special category goods. HS Code 02 (36.55%) follows, indicating meat or dairy products.
• Demand Driver: Germany sources raw materials (meat/dairy under HS 02) for food processing and possibly niche industrial inputs (HS 99).
• Concentration: Extreme—HS 99 + 02 account for 82.87% of exports, indicating high reliance on two categories.

Argentina Import Profile: What Does Argentina Buy from Germany

• Top Commodity: HS Code 84 (27.84% share), covering machinery like nuclear reactors and boilers, reflects industrial dependency.
• Dependency Nature: Critical technology imports (HS 84, 85, 90) dominate, suggesting Argentina relies on German machinery, electronics, and precision instruments.

Argentina - Germany Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity. Argentina exports raw materials (meat, unclassified goods); Germany supplies high-value machinery and tech.
• Value Chain Position: Germany holds the higher value-add position, with 49.69% of imports (HS 84, 85, 90) being advanced tech versus Argentina’s resource-heavy exports (82.87% in HS 99 + 02).

Import Analysis by Product: Germany to Argentina (Source: yTrade)

Export Analysis by Product: Argentina to Germany (Source: yTrade)

Check Detailed Argentina-Germany Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Argentina-Germany trade relationship is expected to remain volatile in the near term, with Argentina’s export recovery likely to face headwinds due to its heavy reliance on unclassified goods (HS 99) and meat/dairy products (HS 02). Germany’s demand for raw materials may stabilize, but Argentina’s import dependency on high-value German machinery (HS 84, 85, 90) will sustain the trade deficit. Without diversification, Argentina’s export growth will struggle to offset the deficit, making the Argentina-Germany trade forecast cautious for Q3 2023.

Strategic Moves

• Diversify Export Basket: Argentine exporters must reduce reliance on HS 99 and HS 02 by identifying new high-demand sectors in Germany, such as renewable energy inputs or specialty agricultural products.
• Lock in Tech Imports: Argentine importers should negotiate long-term contracts for German machinery (HS 84) to mitigate price volatility and secure stable supply chains.
• Leverage Trade Agreements: Both nations should explore bilateral agreements to reduce tariffs on Argentine raw materials and German tech exports, balancing the trade deficit over time.

Frequently Asked Questions

How did Argentina - Germany trade perform in 2023 Q2?

Argentina's exports to Germany totaled $183.65M, with mixed YoY growth, while imports from Germany reached $696.08M, resulting in a trade deficit of $512.43M.

What are the top exports from Argentina to Germany?

Argentina primarily exports unclassified or special category goods (HS Code 99) and meat/dairy products (HS Code 02), which together account for 82.87% of total exports.

What does Argentina import from Germany?

Argentina's top imports from Germany include machinery (HS Code 84), electronics (HS Code 85), and precision instruments (HS Code 90), reflecting a reliance on advanced technology.

What is the trade balance between Argentina and Germany?

Argentina recorded a trade deficit of $512.43M with Germany in Q2 2023, driven by higher imports of machinery and tech versus exports of raw materials.