Brazil - Germany Trade 2024 Q3: Deficit-Driven Exchange

Key Market Takeaways: Brazil - Germany Trade

The bilateral trade relationship between Brazil and Germany remains volatile yet structurally imbalanced in Q3 2024.

• Deficit-Driven Trade: Brazil posted a $2.44B deficit with Germany ($3.81B imports vs. $1.37B exports), despite a sharp September export rebound (+41.65% YoY).
• Resource-for-Tech Exchange: Brazil - Germany trade statistics reveal a lopsided dynamic: commodities (coffee, ores) flow north, while high-tech machinery (HS 84) dominates imports, reflecting 23.96% of total German shipments.
• Asymmetric Interdependence: Germany holds the value-chain high ground, with Brazil reliant on its industrial inputs—a classic case of complementary but unequal economic pairing.

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

Brazil-Germany Trade Trend in Q3 2024

Brazil Export Performance: Shipments to Germany

• Total Volume: Brazil's exports to Germany totaled $1.37B in Q3 2024.
• Growth Trend & Context:
  • Exports showed mixed YoY performance: -31.4% in July, -14.87% in August, then a sharp rebound to +41.65% in September.
  • No specific trade news or policy changes were reported to explain these fluctuations.
• Key Volatility: September saw the highest MoM growth (+46.02%), while July had the steepest decline (-41.49%).

Brazil Import Performance: Sourcing from Germany

• Total Volume: Brazil imported $3.81B worth of goods from Germany in Q3 2024.
• Growth Trend & Context:
  • Imports were volatile YoY: -4.79% in July, +2.05% in August, and +21.05% in September.
• Key Volatility: August recorded the strongest MoM growth (+4.98%), while September saw a slight dip (-2.6%).

Brazil - Germany Trade Balance & Market Dynamics

• Net Position: Brazil ran a trade deficit of $2.44B with Germany (Imports: $3.81B > Exports: $1.37B).
• Relationship Status: Brazil remains heavily dependent on German imports, with exports failing to offset the deficit despite September's export surge.

Brazil Import Trend from Germany 2024 Q3 (Source: yTrade)**

Brazil Export Trend to Germany 2024 Q3 (Source: yTrade)**

Get Historical Brazil Germany Trade Records

Brazil-Germany Top Trading Products in Q3 2024

Brazil Export Profile: What Does Brazil Sell to Germany

• Top Commodity: Rank #1 export is HS 09 (Coffee, tea, and spices) at 33.45% of total exports to Germany.
• Demand Driver: Germany imports these primarily for consumer market consumption, indicating strong demand for Brazilian agricultural products.
• Concentration: The trade is highly concentrated, with the top 3 categories (HS 09, 26, 23) accounting for 58.9% of total exports.

Brazil Import Profile: What Does Brazil Buy from Germany

• Top Commodity: Rank #1 import is HS 84 (Nuclear reactors, boilers, machinery) at 23.96% of total imports from Germany.
• Dependency Nature: Brazil relies heavily on high-tech and industrial machinery from Germany, reflecting a critical technology dependency for manufacturing and infrastructure.

Brazil - Germany Trade Relationship Dynamics

• The Exchange Model: The trade follows a Resource-for-Tech Complementarity model—Brazil exports raw materials (coffee, ores, animal feed) while Germany supplies advanced machinery and chemicals.
• Value Chain Position: Germany holds the higher value-add position, with exports dominated by complex machinery (HS 84, 87, 90) compared to Brazil’s commodity-heavy exports.

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

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

Check Detailed Brazil-Germany Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Brazil-Germany trade relationship is expected to remain volatile in Q4 2024, with Brazil’s export rebound in September likely stabilizing but not fully offsetting the deficit. Germany’s sustained demand for Brazilian agricultural goods (HS 09) will support exports, while Brazil’s reliance on high-tech German machinery (HS 84) ensures continued import growth. However, without policy shifts or new trade agreements, the deficit may persist, requiring strategic adjustments to rebalance the exchange. Traders should prepare for fluctuating demand cycles, particularly in commodity exports.

Strategic Moves

• Secure Long-term Contracts for Coffee Exports: Lock in stable pricing with German buyers to mitigate volatility and ensure consistent revenue streams.
• Diversify Import Sources for Machinery: Reduce dependency on German high-tech imports by exploring alternative suppliers in Asia or North America.
• Boost Export Promotion for Secondary Commodities: Expand beyond coffee by targeting German demand for Brazilian minerals (HS 26) and animal feed (HS 23) through targeted trade missions or digital marketing.

Traders must act decisively to navigate this imbalance, leveraging Brazil’s strengths while addressing its vulnerabilities in the Germany trade dynamic.

Frequently Asked Questions

How did Brazil - Germany trade perform in 2024 Q3?

Brazil's exports to Germany totaled $1.37B, showing mixed YoY growth (-31.4% in July, +41.65% in September). Imports from Germany reached $3.81B, with volatile YoY trends (-4.79% in July, +21.05% in September).

What are the top exports from Brazil to Germany?

Brazil's top exports to Germany are HS 09 (Coffee, tea, and spices), HS 26 (Ores), and HS 23 (Animal feed), accounting for 58.9% of total exports.

What does Brazil import from Germany?

Brazil primarily imports HS 84 (Nuclear reactors, boilers, machinery) from Germany, making up 23.96% of total imports, reflecting a reliance on high-tech and industrial machinery.

What is the trade balance between Brazil and Germany?

Brazil recorded a trade deficit of $2.44B with Germany in Q3 2024, driven by higher imports ($3.81B) than exports ($1.37B). The deficit persists despite September's export surge.