Chile - Peru Trade 2023 Q2: Deficit & Resource Exchange

Key Market Takeaways: Chile - Peru Trade

The bilateral trade relationship between Chile and Peru showed mixed performance with persistent volatility in Q2 2023.

• Deficit & Volume: Chile posted an $83.14M trade deficit with Peru, importing $465.49M (22% more than it exported) amid uneven YoY swings.
• Exchange Structure: Chile - Peru trade statistics reveal resource-for-resource complementarity—Chile ships processed industrial goods (iron/steel, machinery) while sourcing raw materials (ores, agri-products) from Peru.
• Strategic Fit: Asymmetrical but mutually beneficial, with Chile holding higher value-add in manufactured exports and Peru supplying critical inputs.

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

Chile-Peru Trade Trend in Q2 2023

Chile Export Performance: Shipments to Peru

• Total Volume: $382.35M in Q2 2023.
• Growth Trend & Context:
  • YoY declines persisted across all months, with May (-35.74%) and June (-9.6%) showing sharp contractions. No trade policy shifts were reported to explain the slump.
• Key Volatility: May saw the steepest MoM drop (-2.53%), while June rebounded slightly (+6.53%).

Chile Import Performance: Sourcing from Peru

• Total Volume: $465.49M in Q2 2023.
• Growth Trend & Context:
  • Mixed YoY performance: May (+2.98%) was the only month with growth, while April (-17.76%) and June (-20.03%) fell sharply. No news events clarified the fluctuations.
• Key Volatility: May’s imports spiked 30.51% MoM, but June plunged -23.19%.

Chile - Peru Trade Balance & Market Dynamics

• Net Position: Chile recorded an $83.14M trade deficit with Peru.
• Relationship Status: Chile remains a net importer, with Peru supplying 22% more goods than it received in Q2. Volatility in both directions suggests unstable demand or supply chains.

Chile Import Trend from Peru 2023 Q2 (Source: yTrade)**

Chile Export Trend to Peru 2023 Q2 (Source: yTrade)**

Get Historical Chile Peru Trade Records

Chile-Peru Top Trading Products in Q2 2023

Chile Export Profile: What Does Chile Sell to Peru

• Top Commodity: Rank #1 export is HS Code 72 (Iron and steel) with a 14.57% share.
• Demand Driver: Peru likely uses these for industrial processing, given the dominance of raw materials like iron/steel and machinery (HS Code 84).
• Concentration: No single category dominates; the top 3 exports (HS 72, 84, 44) collectively account for 30.10%, indicating diversified trade.

Chile Import Profile: What Does Chile Buy from Peru

• Top Commodity: Rank #1 import is HS Code 26 (Ores, slag, and ash) with a 28.44% share.
• Dependency Nature: Reflects raw material dependency, as Peru supplies critical ores for Chile’s industrial or energy sectors. Agricultural imports (HS 08, 19) suggest supplementary food trade.

Chile - Peru Trade Relationship Dynamics

• The Exchange Model: Resource-for-Resource Complementarity. Chile exports processed industrial goods (steel, machinery) while importing raw materials (ores, agri-products) from Peru.
• Value Chain Position: Chile holds higher value-add, exporting manufactured goods (HS 84, 85) versus Peru’s raw material-heavy exports (HS 26, 08). Trade is asymmetrical but mutually beneficial.

Import Analysis by Product: Peru to Chile (Source: yTrade)

Export Analysis by Product: Chile to Peru (Source: yTrade)

Check Detailed Chile-Peru Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Chile-Peru trade relationship faces near-term volatility, with both exports and imports showing inconsistent YoY performance in Q2 2023. The persistent deficit and erratic demand signals suggest supply chain instability, likely driven by fluctuating industrial demand for raw materials (ores, steel) and agricultural products. However, the complementary nature of trade—Chile’s processed goods for Peru’s raw inputs—provides a foundation for recovery. Traders should anticipate moderate Q3 growth, contingent on stabilizing industrial activity in both markets.

Strategic Moves

• Diversify Export Markets: Chilean exporters must reduce reliance on Peru by targeting other Andean markets for steel (HS 72) and machinery (HS 84), mitigating downside risks from Peru’s volatile demand.
• Lock in Long-Term Ore Contracts: Importers should secure fixed-price agreements for critical Peruvian ores (HS 26) to hedge against price swings and ensure stable supply for Chile’s industrial sector.
• Optimize Cross-Border Logistics: Both nations must streamline customs and transport procedures to curb the MoM volatility seen in May-June, particularly for time-sensitive agricultural shipments (HS 08, 19).

Frequently Asked Questions

How did Chile - Peru trade perform in 2023 Q2?

Chile's exports to Peru totaled $382.35M, showing YoY declines, while imports from Peru reached $465.49M with mixed YoY growth.

What are the top exports from Chile to Peru?

The top exports are HS Code 72 (Iron and steel), HS Code 84 (Machinery), and HS Code 44 (Wood and articles of wood), accounting for 30.10% of total exports.

What does Chile import from Peru?

The top imports are HS Code 26 (Ores, slag, and ash) with a 28.44% share, followed by agricultural products like HS Code 08 and 19.

What is the trade balance between Chile and Peru?

Chile recorded an $83.14M trade deficit with Peru in Q2 2023, remaining a net importer with Peru supplying 22% more goods than it received.