Argentina’s Trade Gap With China Widens as Exports Fall and Imports Soar

Photo: Ted McGrath.

Argentina’s trade relationship with China took a sharp turn in the first half of 2025. Exports to the Asian country dropped 15% year-on-year, reaching US$3.07 billion between January and June. This decline amounts to US$541 million less than in the same period of 2024, marking a significant setback for one of Argentina’s top export destinations.

In stark contrast, imports from China soared by 79.4%, hitting US$8.3 billion, an increase of US$3.67 billion compared to last year. This imbalance has sharply eroded Argentina’s trade position with China. Data from consultancy Unexa shows that Argentina’s trade surplus with China has shrunk by 74%, underscoring the growing asymmetry in the commercial relationship.

The surge in imports has been driven largely by the Milei administration’s market liberalization policies, which have reduced barriers for foreign goods. As a result, manufactured goods, industrial inputs, consumer electronics, and machinery from China have entered the Argentine market in greater volumes and at a faster pace.

The drop in exports is tied to weaker sales of primary commodities that have traditionally dominated Argentina’s shipments to China. Soybeans, soybean oil, and beef remain the core products, but each has faced reduced demand in early 2025. Beef exports in particular fell almost 25% in volume during the first quarter, causing losses estimated at over US$140 million.

Economists warn that this combination of declining exports and rising imports presents a structural challenge for Argentina’s external accounts. With exports concentrated in a handful of commodities and imports heavily weighted toward higher-value manufactured goods, the trade relationship risks becoming more imbalanced unless Argentina diversifies both its product base and markets.

In the medium term, Argentina may need to step up negotiations to secure greater market access in other Asian economies and explore opportunities to export higher-value processed goods. Without such measures, the widening deficit with China could become a persistent drag on the country’s trade balance and foreign currency reserves.

* Original text in Spanish. Translated by Large Language Model (LLM) technology.

Main Source:

Las exportaciones a China cayeron 15% interanual en el primer semestre – Perfil

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