Italy's Exports to Mercosur Rise 21.1% in May 2026

Italian exports to Mercosur countries totaled €745 million in May 2026, a growth of 21.1% compared to the same month in 2025. The data, released by Istat and commented on by Confindustria, corresponds to the first full month of provisional application of the Interim Commercial Agreement between the European Union and Mercosur, which entered into force on May 1st.

Growth numbers in May

The jump in Italian exports to the South American bloc drew attention precisely because it coincided with the entry into force of the commercial agreement. Nevertheless, both Istat and Confindustria issue an important caveat: a single month of data is not sufficient to attribute the result directly to the effects of the agreement. Seasonal variations, contracts closed before the new rules took effect, and currency fluctuations may also have influenced the figure.

In any case, the volume of €745 million represents one of Italy's best monthly results with Mercosur in recent years, according to the survey. Analysts quoted by the Italian press expect that the coming months will bring more clarity on whether the increase is an outlier or the beginning of a more consistent trend.

Brazil accounts for the majority of sales

Of the total exported by Italy to Mercosur in May, Brazil accounted for €582 million, equivalent to approximately 78% of everything the European country sold to the bloc. Italian sales to the Brazilian market grew 22.3% in year-on-year comparison, consolidating Brazil as Italy's main trading partner in South America.

Uruguay and Paraguay registered the largest percentage variations in the period, although starting from much smaller comparison bases than Brazil's, which naturally amplifies the statistical effect of any absolute growth. Argentina, meanwhile, had more modest performance, with Italian exports to the country rising by only 0.6%, a result that stands out from the rest of the bloc and should be monitored in upcoming reports.

What changes with the trade agreement

The Interim Commercial Agreement between the European Union and Mercosur provides for gradual reduction of customs tariffs, new rules of origin for products traded between the blocs, customs facilitation measures, and greater reciprocal access to goods, services, and public procurement.

In the machinery and equipment sector, one of the most relevant to Italy's export agenda, tariffs currently ranging from 14% to 20% will begin to be eliminated gradually, according to the schedule provided in the agreement text. The automotive sector received differentiated treatment: electric and hybrid vehicles now benefit from immediate tariff cuts, a measure that should favor Italian manufacturers with strong presence in this segment.

The agreement also provides for sector-specific schedules, with timelines ranging from immediate to staggered over several years, according to the official text of the commercial agreement.

These changes are part of a broader movement of economic rapprochement between Rome and South American countries, which had already been discussed in bilateral meetings over recent months. Those following news from Italy have seen the topic gain increasingly frequent space on the Italian diplomatic agenda.

Next steps and relevance for Brazil

For Confindustria, the May numbers represent a favorable start, but the entity avoids premature celebrations and states that it intends to closely monitor results in the coming months before confirming any trend of sustained growth in trade with Mercosur.

In this context, an Italian business mission scheduled for September 7-11, with stops in Brazil and Argentina, gains relevance. As already reported in Tajani returns to Brazil next week, the visit seeks to expand economic relations between Italy and the two South American countries, amid the wave of expectations generated by the EU-Mercosur agreement.

For the Italian-Brazilian community, more intensive trade between Italy and Brazil can translate into more investment, greater variety of Italian products available in the Brazilian market, and new business opportunities between companies in both countries. The topic also resonates with the growing interest of Brazilians in matters related to Italy, ranging from Italian citizenship to curiosities about life in Italy.

Those who already have family ties in Italy and are considering pursuing Italian citizenship recognition can count on support from specialist Italian citizenship advisory services, as well as certificate search services in Italy to gather the documentation necessary for the process.

The May data indicate a moment of commercial rapprochement between Italy and Mercosur, but the scenario still depends on confirmation in the coming months and the developments of the business mission traveling through Brazil and Argentina in September. The expectation of Italian business leaders and authorities is that the interim agreement will serve as the foundation for a more robust and lasting commercial relationship between the two blocs.

Source: Italianismo