Latvia flag Latvia: Economic and Political Overview

Foreign trade figures of Latvia

Foreign Trade in Figures

The Latvian market is open and competitive, with foreign trade representing 130% of GDP (World Bank, latest data available). According to the Central Statistical Bureau of Latvia, in 2022 exports were comprised mostly of wood, wood products and charcoal; mineral fuels, mineral oils and products of their distillation; electrical machinery and equipment. Imports were led by mineral fuels, mineral oils and products of their distillation; electrical machinery and equipment; machinery and mechanical appliances.

With its 530 km-long Baltic coastlines on the west, Latvia is bordered by Belarus and Russia to the east, Estonia to the north and Lithuania to the south. This geographical position allows the country to function as a bridge between the two major economic areas of the EU and the CIS. At the same time, it also makes the country vulnerable to the external context, as shown during the Russia-Ukraine crisis and the following sanctions towards the Russian Federation. As a result, the volume of trade with Russia now accounts for less than 10% of the total while the EU has the lion's share with nearly 45.3% of total exports and an even larger share of imports. In the meantime, the country is also seeking new opportunities beyond Europe, with China and several countries in Central Asia. For 2022, the main partner countries were Sweden (EUR 956.5 million, 4.5%), Lithuania (EUR 933 million, 4.3%) and Germany (EUR 893.4 million, 4.2%); whereas imports came chiefly from Lithuania, Estonia, Germany, Poland, and the Russian Federation (their cumulated share comprised 60.3% of total imports).

The country has a structural trade deficit (notably due to its energy imports), which stood at 3.4% of GDP in 2021 (World Bank). In the same year, Latvia exported USD 20.8 billion worth of goods, importing USD 24.4 billion (+28.5% and +33.1% year-on-year, respectively). Trade in services recorded a surplus, with exports standing at USD 5.7 billion (+14.2% y-o-y) against USD 3.6 billion in imports (+23.2%). Preliminary figures from the National Statistical Office show that in 2022 Latvia exported EUR 21.27 billion worth of goods, importing EUR 26.5 billion (+29.3% and 35.8%). Both are the highest exports and imports value yet recorded, which can be explained by the rise in prices.

 
Foreign Trade Values 20182019202020212022
Imports of Goods (million USD) 19,68118,95918,44124,44629,497
Exports of Goods (million USD) 16,16615,70516,33720,83324,121
Imports of Services (million USD) 3,5703,5293,2684,2265,050
Exports of Services (million USD) 6,2946,2575,3756,1427,371

Source: World Trade Organisation (WTO) ; Latest available data

Foreign Trade Indicators 20182019202020212022
Foreign Trade (in % of GDP) 123.6120.3118.8130.8146.5
Trade Balance (million USD) -2,944-2,952-1,758-3,267-4,282
Trade Balance (Including Service) (million USD) -230-230453-1,253-1,838
Imports of Goods and Services (Annual % Change) 6.33.1-0.315.311.7
Exports of Goods and Services (Annual % Change) 4.42.1-0.35.99.1
Imports of Goods and Services (in % of GDP) 62.160.558.967.176.2
Exports of Goods and Services (in % of GDP) 61.559.859.963.770.3

Source: World Bank ; Latest available data

Foreign Trade Forecasts 20232024 (e)2025 (e)2026 (e)2027 (e)
Volume of exports of goods and services (Annual % change) -0.23.02.62.62.6
Volume of imports of goods and services (Annual % change) -0.53.02.52.52.5

Source: IMF, World Economic Outlook ; Latest available data

Note: (e) Estimated Data

 
International Economic Cooperation
Latvia is a member of the United Nations, the Council of Europe, the Organization for Security and Cooperation in Europe, the World Trade Organization, the Council of the Baltic Sea States and the European Bank for Reconstruction and Development. It has contributed to NATO peacekeeping missions and is taking part at the present time in the international missions to Afghanistan and Irak.
 

Main Partner Countries

Main Customers
(% of Exports)
2022
Lithuania 18.2%
Estonia 11.7%
Germany 6.7%
Russia 5.6%
Sweden 5.6%
See More Countries 52.2%
Main Suppliers
(% of Imports)
2022
Lithuania 24.3%
Estonia 10.1%
Germany 9.6%
Poland 9.4%
Russia 6.9%
See More Countries 39.7%

Source: Comtrade, 2023. Because of rounding, the sum of the percentages may be smaller/greater than 100%.

 
 

Main Products

22.5 bn USD of products exported in 2022
Wood sawn or chipped lengthwise, sliced or peeled,...Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness of > 6 mm 5.7%
Petroleum gas and other gaseous hydrocarbonsPetroleum gas and other gaseous hydrocarbons 5.5%
Wheat and meslinWheat and meslin 4.2%
Telephone sets, incl. telephones for cellular...Telephone sets, incl. telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, incl. apparatus for communication in a wired or wireless network [such as a local or wide area network]; parts thereof (excl. than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528) 3.6%
Fuel wood, in logs, billets, twigs, faggots or...Fuel wood, in logs, billets, twigs, faggots or similar forms; wood in chips or particles; sawdust and wood waste and scrap, whether or not agglomerated in logs, briquettes, pellets or similar forms 3.2%
See More Products 77.8%
27.9 bn USD of products imported in 2022
Petroleum gas and other gaseous hydrocarbonsPetroleum gas and other gaseous hydrocarbons 9.5%
Petroleum oils and oils obtained from bituminous...Petroleum oils and oils obtained from bituminous minerals (excl. crude); preparations containing >= 70% by weight of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations, n.e.s.; waste oils containing mainly petroleum or bituminous minerals 5.7%
Electrical energyElectrical energy 4.8%
Motor cars and other motor vehicles principally...Motor cars and other motor vehicles principally designed for the transport of persons, incl. station wagons and racing cars (excl. motor vehicles of heading 8702) 3.0%
Telephone sets, incl. telephones for cellular...Telephone sets, incl. telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, incl. apparatus for communication in a wired or wireless network [such as a local or wide area network]; parts thereof (excl. than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528) 2.8%
See More Products 74.2%

Source: Comtrade, 2023. Because of rounding, the sum of the percentages may be smaller/greater than 100%.

 
 

To go further, check out our service Import Export Flows.

 

Main Services

Source: United Nations Statistics Division, 2023. Because of rounding, the sum of the percentages may be smaller/greater than 100%.

Return to top

Any Comment About This Content? Report It to Us.

 

© eexpand, All Rights Reserved.
Latest Update: November 2023