US Trade with South America in 2008

Ecuador Grows Fastest as Exporter while Chile & Peru Lead Importers

Mar 3, 2009 Daniel Workman

In 2008, America won US$3.9 and $2.5 billion trade surpluses with Chile and Brazil respectively and is positioned to reduce its huge $38.8 billion deficit with Venezuela.

South American nations exported US$125 billion worth of goods to the United States of America in 2008. This figure represents a 23.7% gain from the prior year and a 76.1% rise since 2004. Total imported goods from the U.S. into South America totaled $89.8 billion last year, up 33.5% from 2007 and up 153.8% since 2004.

America’s overall trade deficit with South American countries was $35.2 billion in 2008. This is 4% higher than the prior year, but comparable to the $35.6 billion negative balance for 2004.

Exports to USA by South American Countries

Oil-rich Venezuela was by the far the largest exporter to the United States in 2008, accounting for over two-fifths of U.S. imports from South America.

1. Venezuela … US$51.4 billion (41.1% of overall South American exports to USA)
2. Brazil … $30.5 billion (24.4%)
3. Colombia … $13.1 billion (10.5%)
4. Ecuador … $9 billion (7.2%)
5. Chile … $8.2 billion (6.6%)
6. Peru … $5.9 billion (4.7%)
7. Argentina … $5.8 billion (4.7%)
8. Bolivia … $510.8 million (0.4%)
9. Uruguay … $244 million (0.2%)
10. Guyana … $146 million (0.1%)
11. Suriname … $126.5 million (0.1%)
12. Paraguay … $78.4 million (0.1%).

Fastest-Growing South American Exporters to USA

The following list ranks South American nations by percentage growth in USA exports since 2004.

1. Ecuador … Up 111.2% since 2004 (up 47.5% from 2007)
2. Venezuela … Up 106.3% (up 28.8% from 2007)
3. Bolivia … Up 96.2% (up 40.9% from 2007)
4. Colombia … Up 80.4% (up 38.8% from 2007)
5. Chile … Up 73% (down 9% from 2007)
6. Peru … Up 58.2% (up 11.1% from 2007)
7. Argentina … Up 55.4% (up 29.7% from 2007)
8. Brazil … Up 43.9% (up 18.8% from 2007)
9. Paraguay … Up 33.8% (up 15.4% from 2007)
10. Guyana … Up 19.3% (up 18.3% from 2007)
11. Suriname … Down 10.1% (down 2.3% from 2007)
12. Uruguay … Down 57.9% (down 50.4% from 2007).

Imports from USA by South American Country

With a population of 196.3 million, Brazil offers the largest group of potential clients for imported goods from the USA.

1. Brazil … US$32.9 billion (36.6% of overall USA exports into South America)
2. Venezuela … $12.6 billion (14%)
3. Chile … $12.1 billion (13.5%)
4. Colombia … $11.4 billion (12.7%)
5. Argentina … $7.5 billion (8.4%)
6. Peru … $6.2 billion (6.9%)
7. Ecuador … $3.5 billion (3.8%)
8. Paraguay … $1.6 billion (1.8%)
9. Uruguay … $893.3 million (1%)
10. Suriname … $406.3 million (0.5%)
11. Bolivia … $389.1 million (0.4%)
12. Guyana … $288.6 million (0.3%).

Fastest-Growing South American Importers from USA

The list below ranks South American countries by percentage growth in USA imports since 2004.

1. Chile … Up 235.4% since 2004 (up 45.4% from 2007)
2. Peru … Up 194.3% (up 50.1% from 2007)
3. Uruguay … Up 174% (up 39.4% from 2007)
4. Venezuela … Up 164.5% (up 23.6% from 2007)
5. Paraguay … Up 158.5% (up 30.2% from 2007)
6. Colombia … Up 153.9% (up 33.7% from 2007)
7. Brazil … Up 136.8% (up 33.6% from 2007)
8. Suriname … Up 126.7% (up 33.8% from 2007)
9. Argentina … Up 122.5% (up 28.7% from 2007)
10. Guyana … Up 108.5% (up 53.6% from 2007)
11. Ecuador … Up 106.8% (up 17.5% from 2007)
12. Bolivia … Up 100.7% (up 40.1% from 2007).

U.S. Trade Balances by South American Countries

While America is running trade deficits with only 4 South American countries, its huge $38.8 billion deficit with Venezuela is the most problematic.

• Venezuela … US$38.8 billion trade deficit in 2008 (up 30.6% from 2007)
• Ecuador … $5.6 billion trade deficit (up 75%)
• Colombia … $1.7 billion trade deficit (up 88.9%)
• Bolivia … $121.7 million trade deficit (up 43.4%)

For analysts looking for early signs of a U.S. recovery, Uncle Sam rang up trade surpluses with the following South American nations in 2008.

• Chile … US$3.9 billion trade surplus in 2008 (up 670.8% from 2007)
• Brazil … $2.5 billion trade surplus (up 340.6%)
• Argentina … $1.7 billion trade surplus (up 25.4%)
• Paraguay … $1.5 billion trade surplus (up 31%)
• Uruguay … $649.3 million trade surplus (up 336.2%)
• Peru … $327.9 million trade surplus (down 128.5%)
• Suriname … $279.7 million trade surplus (up 60.7%)
• Guyana … $142.6 million trade surplus (up 121%).

In 2009, lower oil prices should help the U.S. lower its trade deficit with Venezuela and therefore improve America’s overall trade balance with its South American neighbours.

Sources for this Article

This article presents independent calculations and insights based on data drawn from the CIA World Factbook and the U.S. Census Bureau – Foreign Trade Statistics.

The copyright of the article US Trade with South America in 2008 in International Trade is owned by Daniel Workman. Permission to republish US Trade with South America in 2008 in print or online must be granted by the author in writing.

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