Portugal’s trade deficit narrowed to €2.81 billion in May 2026 from €3.32 billion a year earlier, supported by stronger exports and lower imports. Exports increased 5.1% year-on-year to €7.32 billion, while excluding fuels and lubricants they rose 2.3%. The main driver was a 14.9% increase in industrial supplies exports, particularly base metals and chemical products. Among major trading partners, exports to Germany rose 16.6% and shipments to Belgium surged 56%, largely reflecting higher sales of industrial supplies, especially chemicals. Meanwhile, imports declined 1.6% to €10.13 billion, with non-fuel imports falling 6.8%. The largest drop came from industrial supplies, which decreased 17.2%. Import declines were particularly significant from Ireland, down 80.4%, and the Netherlands, down 24.3%, mainly due to lower purchases of industrial supplies, including chemical products.