Argentina achieved a historic trade surplus of US$3.5 billion in May. The trade balance recorded a surplus of US$11.7 billion in the initial five months of 2026, exceeding the total surplus of US$11.2 billion for the entire year of 2025. The result was propelled by persistent export growth, which attained a new all-time high of US$9.5 billion, bolstered by a significant rise in energy and agricultural exports. Through May, total exports reached US$40.3 billion, surpassing the figure recorded during the corresponding period in 2025 by 24.3%. Economy Minister Luis Caputo expressed approval of the figures, highlighting that the energy trade balance recorded a surplus of US$1.5 billion, which he characterised as the largest positive balance in the nation’s history.
Energy exports represented 18.3% of total exports, amounting to US$1.7 billion. This represented a 167% increase compared to the same month last year, positioning energy as the fourth-largest export category. Industrial exports ranked third, increasing by 20.1% to US$2.3 billion, followed by primary products at US$2.4 billion, and agricultural manufactures at US$2.9 billion. The May data released by Argentina’s national statistics agency, INDEC, indicated the persistence of the trade surpluses observed since President Javier Milei assumed office. The figures underscore the increasing significance of the energy sector in Argentina’s exports and trade balance. In May, Argentina’s foremost trading partner was China. The country recorded a trade surplus of US$347 million with the Asian nation, propelled by a remarkable 78.9% increase in exports alongside a 7.7% decrease in imports.
Brazil secured the second position, while Argentina experienced a trade deficit of US$106 million, even with a notable 26.5% decrease in imports. The subsequent three positions were held by the European Union, the United States, and Paraguay. However, this result was also partly influenced by a decrease in imports. In May, imports experienced a decline of 7% compared to the previous year, amounting to US$6 billion. The decrease in demand for foreign goods can be primarily attributed to the manufacturing sector, which has traditionally been the largest importer of goods. This sector has faced challenges due to diminished domestic consumption and heightened competition from imported products. Recent industry data indicated ongoing weakness in manufacturing activity. According to the most recent survey conducted by the Argentine Industrial Union, industrial activity experienced a decline of 5% on a year-over-year basis in May, alongside a month-over-month decrease of 0.8%.
At the sector level, 12 of the 16 industries surveyed experienced declines compared to May 2025, while 11 sectors reported monthly contractions. Among the sectors experiencing double-digit year-over-year declines were textile products, which saw a decrease of 22%, and machinery and equipment, which declined by 20%. This downturn is primarily attributed to reduced production and sales, especially in the agricultural machinery segment. The list was completed by apparel, leather, and footwear, which continued to be 16% below their May 2025 levels. The report characterised them as among the weakest-performing sectors, functioning at “historic lows due to weakened domestic demand and increased competition from imports.”