Impact of US Trade Policy Now Impacts Portuguese Exports
Portugal's national trade has been impacted by the new U.S. tariff plan, as revealed in the latest episode of the daily podcast "Economia dia a dia", offered by Expresso. Hosted by Tomás Delfim, the podcast delves into the specifics of how the tariff plan is affecting Portugal's exports and imports.
The tariff plan, which imposes a uniform 15% tariff on most European exports to the U.S., has led to a significant decrease in Portuguese exports. Key sectors such as automotive components, semiconductors, wine, and cork have been particularly affected, becoming more costly and less competitive in the U.S. market. As a result, Portugal's exports have seen a sharp decline—39.4% year-on-year in June 2025 and a 13.9% drop over the previous quarter.
While the tariff agreement replaces a patchwork of previous levies and imposes a uniform 15% duty, it has still resulted in high costs and limited gains for Portuguese exporters. Certain sectors like pharmaceuticals are exempt from these tariffs, but others remain significantly affected. Portuguese businesses involved indirectly in EU value chains, especially in automobiles and machinery, face increased costs reaching the U.S. market.
On the import side, Portugal could benefit somewhat, as U.S. goods entering Europe, including Portugal, may become relatively cheaper since reciprocal EU tariffs were not introduced. This development could aid Portuguese importers in sectors like energy, aerospace, and high-tech machinery, contributing to energy diversification and reduced dependency on volatile sources.
The Portuguese government and business representatives have responded cautiously to the tariff plan. Although the deal brings some predictability and avoids escalation, it is seen as a setback for exporters and indicative of an asymmetrical tariff structure disadvantaging European producers relative to U.S. tariffs on European imports. There is concern about potential disruptions and the broader implications for EU strategic autonomy and trade policy.
In conclusion, Portugal faces reduced export competitiveness and decreased trade volumes with the U.S. due to the new 15% tariffs, while potentially benefiting on imports and energy diversification fronts. The situation remains fluid, with ongoing reviews and risks of renewed tensions.
Listeners can tune in to the latest episode of "Economia dia a dia" to gain further insights into this complex issue and stay informed about the latest developments in Portugal's national trade.
- The high costs and limited gains for Portuguese exporters, as a result of the tariff plan, indicate that international finance might become challenging for businesses involved in sectors like automotive components, semiconductors, wine, and cork.
- Despite the potential benefits Portugal could gain from cheaper U.S. imports in sectors like energy, aerospace, and high-tech machinery, the increased costs and decreased trade volumes in international business could have broader implications for EU strategic autonomy and trade policy.
