Brazil fears Argentina will buy more Asian footwear
According to statements by Haroldo Ferreira, Executive-President of ABICALÇADOS -the Brazilian Footwear Industries Association-, "the measure taken by the Argentine government is of great concern to the Brazilian footwear industry. This is because, although Argentina became the main international destination for our footwear last month, it has increased its imports from outside the Mercosur bloc, especially from Asia. The reduction in the import tariff from 35% to 20% is likely to further increase the presence of Asian footwear in the country at a time of economic recovery.”
The executive’s remarks reflect the concern within the sector regarding the Argentine market, which is currently the largest buyer of Brazilian footwear. In the first quarter of 2025, imports of Brazilian footwear rose significantly, with purchases in February 2025 nearly doubling compared to the same month in 2024. This trade activity is facilitated by the zero-tariff regime among Mercosur countries.
Therefore, even with the 20% rate set by the Argentine government (previously 35%), Brazil fears that the entry of Asian footwear into Argentina will continue to grow, resulting in a loss of market share for Brazilian products.
Nevertheless, amid this “tariff shock” implemented by the Trump administration, Brazil holds optimistic forecasts regarding a potential increase in exports to the United States (its second-largest market), as the tariff hikes applied to Asian footwear imports -averaging 64%- are significantly higher than those affecting Brazilian products, which will be around 27%.
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