Chile - Japan Trade 2023 Q3: Export Declines Signal Shift
Key Market Takeaways: Chile - Japan Trade
The bilateral trade relationship between Chile and Japan shows softening demand amid deepening export declines in 2023 Q3.
- Economic Pulse: Chile maintains an $856.71M trade surplus with Japan ($1.39B exports vs. $533.29M imports), but export volumes fell sharply YoY, signaling potential demand shifts.
- Exchange Structure: Chile - Japan trade statistics reveal a resource-for-tech complementarity—Chile supplies ores (61.43% of exports) while importing Japanese vehicles (38.73% of imports).
- Strategic Interdependence: Highly complementary but imbalanced—Japan holds the high-value position in finished goods, while Chile remains commodity-dependent.
This bilateral trade snapshot is based on verified customs data from the yTrade database.
Chile-Japan Trade Trend in Q3 2023
Chile Export Performance: Shipments to Japan
- Total Volume: $1.39B in Q3 2023.
- Growth Trend & Context:
- YoY declines deepened each month, with September plummeting -43.93%—the sharpest drop.
- No mitigating news to explain the contraction.
- Key Volatility: August saw a 15.03% MoM rebound, but September’s -24.08% drop erased gains.
Chile Import Performance: Sourcing from Japan
- Total Volume: $533.29M in Q3 2023.
- Growth Trend & Context:
- YoY growth turned negative in September (-28.19%), offsetting August’s 4.64% rise.
- Key Volatility: August’s 35.36% MoM surge was the quarter’s peak, followed by an 11.13% retreat in September.
Chile - Japan Trade Balance & Market Dynamics
- Net Position: Chile holds a $856.71M trade surplus with Japan (Exports: $1.39B > Imports: $533.29M).
- Relationship Status: Chile remains a dominant net exporter, though export declines signal softening demand or competitive pressures.
Chile Import Trend from Japan 2023 Q3 (Source: yTrade)**
| Month | Value | MoM | YoY |
|---|---|---|---|
| Jul | 149.95M | -12.98% | 0.0% |
| Aug | 202.97M | 35.36% | 4.64% |
| Sep | 180.37M | -11.13% | -28.19% |
| Total | 533.29M | - | - |
Chile Export Trend to Japan 2023 Q3 (Source: yTrade)**
| Month | Value | MoM | YoY |
|---|---|---|---|
| Jul | 459.20M | -21.2% | 0.0% |
| Aug | 528.21M | 15.03% | -13.19% |
| Sep | 401.03M | -24.08% | -43.93% |
| Total | 1.39B | - | - |
Get Historical Chile Japan Trade Records
Chile-Japan Top Trading Products in Q3 2023
Chile Export Profile: What Does Chile Sell to Japan
- Top Commodity: Rank #1 export is HS Code 26 (Ores, slag, and ash) at 61.43% of total exports to Japan.
- Demand Driver: Japan imports raw materials like ores for industrial processing, likely feeding its steel and manufacturing sectors.
- Concentration: Trade is highly concentrated, with ores alone accounting for over 60% of exports.
Chile Import Profile: What Does Chile Buy from Japan
- Top Commodity: Rank #1 import is HS Code 87 (Vehicles) at 38.73% of total imports from Japan.
- Dependency Nature: Chile relies on Japan for high-tech machinery (e.g., vehicles, industrial equipment), indicating a critical technology dependency.
Chile - Japan Trade Relationship Dynamics
- The Exchange Model: Resource-for-Tech Complementarity—Chile exports raw materials (ores, seafood) while importing advanced machinery and vehicles.
- Value Chain Position: Japan holds the higher value-add position, supplying finished goods (vehicles, machinery) versus Chile’s commodity-heavy exports.
Import Analysis by Product: Japan to Chile (Source: yTrade)
| HS Code | Value | Percent |
|---|---|---|
| 87 | 206.56M | 38.73% |
| 84 | 137.64M | 25.81% |
| 40 | 40.06M | 7.51% |
| 72 | 37.27M | 6.99% |
| 27 | 35.39M | 6.64% |
| 90 | 16.65M | 3.12% |
| 28 | 16.30M | 3.06% |
| 85 | 11.04M | 2.07% |
| 15 | 6.96M | 1.31% |
| 38 | 6.47M | 1.21% |
Export Analysis by Product: Chile to Japan (Source: yTrade)
| HS Code | Value | Percent |
|---|---|---|
| 26 | 852.97M | 61.43% |
| 03 | 200.58M | 14.45% |
| 28 | 61.77M | 4.45% |
| 02 | 42.27M | 3.04% |
| 20 | 36.21M | 2.61% |
| 44 | 35.21M | 2.54% |
| 22 | 33.85M | 2.44% |
| 08 | 24.54M | 1.77% |
| 23 | 20.20M | 1.45% |
| 12 | 17.10M | 1.23% |
Check Detailed Chile-Japan Trade HS Code Breakdown
Future Outlook & Strategic Recommendations
Forecast
Chile’s trade surplus with Japan is likely to narrow in Q4 2023 as export declines accelerate, driven by weakening demand for ores and sluggish industrial activity in Japan. The structural reliance on raw material exports leaves Chile vulnerable to global commodity cycles, while Japan’s tech-driven imports may face further contraction due to softening consumer demand. Traders should brace for continued volatility, with no immediate recovery signals in key sectors. The Chile-Japan trade forecast remains cautious, hinging on Japan’s industrial rebound and Chile’s ability to stabilize commodity shipments.
Strategic Moves
- Diversify Export Mix: Reduce overreliance on ores (HS 26) by expanding seafood, fruit, and wine exports, leveraging Chile’s competitive edge in agribusiness to offset mineral volatility.
- Lock In Tech Imports: Secure long-term contracts for Japanese vehicles (HS 87) and machinery to hedge against supply chain disruptions and currency fluctuations.
- Monitor Trade Policy Shifts: Anticipate Japan’s potential import restrictions or subsidies for domestic industries, which could further squeeze Chilean exporters—adjust pricing strategies preemptively.
Frequently Asked Questions
How did Chile - Japan trade perform in 2023 Q3?
Chile's exports to Japan fell sharply (-43.93% YoY in September), totaling $1.39B, while imports dropped to $533.29M, resulting in a $856.71M trade surplus for Chile.
What are the top exports from Chile to Japan?
Chile's top export to Japan is HS Code 26 (Ores, slag, and ash), accounting for 61.43% of total exports, driven by Japan's demand for raw materials.
What does Chile import from Japan?
Chile primarily imports HS Code 87 (Vehicles) from Japan, making up 38.73% of total imports, reflecting a reliance on high-tech machinery and finished goods.
What is the trade balance between Chile and Japan?
Chile holds a $856.71M trade surplus with Japan, though export declines suggest softening demand or competitive pressures in the market.
Chile - Japan Trade 2023 Q2: Resource-for-Tech Boom
Chile's trade surplus with Japan hit $1.30B in Q2 2023, fueled by ores (73.55% of exports) and vehicle imports (35.64%). Track Chile Japan trade trends & top products via yTrade data.
Chile - Japan Trade 2023 Q4: Declining Trade Volumes
Chile Japan trade trend shows a $1.11B surplus but declining volumes in Q4 2023. Chile Japan top trading product remains ores vs. refined fuels. Data via yTrade.
