The surge in energy costs, accelerated by the conflict in Ukraine, is reshaping Spain’s trade balance as energy prices rise. In the first quarter, the energy shortfall reached 11,052 million euros, more than double the 4,883 million euros recorded in the same period a year earlier as oil and gas costs climbed and electricity demand grew.
During the first three months, imports of energy products including oil, gas, coal and electricity rose by nearly 129 percent, pushing total energy purchases to 19,197 million euros. Exports of energy products also grew, but the gap between Spain’s purchases and sales narrowed the impact, with imports rising 129 percent to 8,145 million euros while exports remained smaller in volume.
In March alone, the first full month since the Ukraine war began, the energy deficit widened by 4,068 million euros, after accounting for 6,984 million euros accumulated in the prior two months due to the imbalance between imports and exports of energy products.
According to the latest report from the Ministry of Industry, Trade and Tourism on foreign trade, Spain imported 12,088 million euros worth of petroleum and derivatives in three months, up 82.5 percent; gas imports topped 5,406 million, up 308.5 percent; and coal and electricity rose 283 percent to 1,703 million. Exports also grew strongly, with oil and derivatives rising around 90 percent, gas exports increasing fivefold, and coal and especially electricity exports rising sixfold, albeit at much smaller volumes than imports from the external market.
Export record, rapidly increasing deficit
Spain’s exports reached a record level in the first quarter, amounting to 89,611 million euros. In the same period, the euro strengthened by about 23.9 percent compared with the previous year. However, the energy crisis pushed the cost of imports higher, reaching 105,027 million euros, an increase of 39 percent.
The balance between these dynamics shows a gap of 15,416 million euros in just three months, nearly five times the 3,262 million euros registered the prior year. The pattern reflects Spain’s heavy reliance on foreign energy and the resulting impact on the country’s overall trade balance amid a price shock in global energy markets.
“The momentum of foreign trade in March continued to show exports and imports growing, albeit at a slower pace, while still advancing at high levels given the current international environment,” stated the Trade Minister. The government’s data highlight that exports rose more in March compared with major economies such as France, Germany, the United Kingdom, the United States, China and Japan, signaling broad resilience despite energy pressures.