Fuel prices surged in the second quarter, resulting in a loss of terms of trade for Portugal. This means the country needs to export more goods to be able to buy the same amount of imported goods, which represents a reduction in the so-called "purchasing power" of national exports.
This situation is putting pressure on the Portuguese trade deficit. It is the first time since 2022 that Portugal has recorded a deterioration in terms of trade in a quarter.
The increase in energy costs raises the price of imports, while export prices do not keep up with that growth to the same proportion, worsening the imbalance of the country's trade balance.
