Huge dip in US demand hurts Brazilian footwear exports
Footwear exports from Brazil between January and August fell 16% in volume and 7% in revenue compared with the same period last year.
Exports totalled 82.28 million pairs, generating $823.15 million.
Haroldo Ferreira, CEO of footwear industry association Abicalçados, said the slowdown in the international economy, high interest rates and slowing demand from the US had impacted the sector.
He added: “We expect some improvement in the last months of the year, but even so we should end 2023 with indices between 6.7% and 9.1% lower than those registered in 2022, in volume.”
Even so, these figures would be higher than the results in 2019.
Argentina is the biggest export market for Brazilian abroad. Between January and August, 10.76 million were shipped there for $168 million, a drop of 8.1% in volume but a 32% increase in revenue compared to the same period last year.
“Argentina, despite the internal economic crisis and changes in access to the exchange market, which has been harming our exports there, is a captive market for our footwear,” said Mr Ferreira.
Exports to the US, the second-biggest market, fell almost 50% in volume and 35% in revenue compared with the corresponding period last year.
