ports

EU-LatAm Trade Deal Fails to Boost Outbound Volumes Yet

European container shipments to South America have declined despite a newly implemented EU-Mercosur trade agreement. Volumes fell 10.6% year-on-year in January and continued declining into the spring months. However, freight forwarders report a shift in market sentiment, noting increased quotation requests from European shippers planning Latin American exports. Industry participants anticipate gradual but sustained growth in coming months, with automotive, machinery, pharmaceuticals and chemicals sectors leading demand. The reverse trade tells a different story. South American shipments to Europe surged 9.8% through May, maintaining momentum from 2025's 8.7% annual growth. Coffee, fresh fruit, refrigerated products, pulp and leather products continue driving the inbound lane, with forwarders describing the market as particularly strong. Trade observers expect the EU-Mercosur agreement to sustain this upward trajectory.