Energy costs drive over half of Tunisia's trade deficit

Tunisia's trade deficit widened to 12.57 billion dinars in the first half of 2026, a 26.9% increase from the previous year, despite a 9% rise in exports to 34.65 billion dinars. Imports grew faster at 13.3%, reaching 47.21 billion dinars, reducing the import coverage rate to 73.4%. The energy deficit is the primary driver of this imbalance, reaching 6.78 billion dinars, up from 5.21 billion dinars a year prior, and now accounts for 53.9% of the total trade deficit. This means more than half of the trade deficit is due to energy exchanges. Energy product imports surged by 33.5%, the highest increase among major imported categories. This situation is exacerbated by a 9% decline in primary energy resources by the end of April 2026, with crude oil production down 7% and natural gas down 13%, while primary energy demand increased by 4%. This growing gap between national supply and demand necessitates increased oil and gas imports, further inflating the energy bill and trade deficit. Tunisia's energy dependence rate reached 65% by the end of April 2026, or 71% excluding the Algerian gas transit fee, indicating that nearly two-thirds to over seven-tenths of the country's energy needs are met by hydrocarbon imports. Rising Brent crude prices in the first four months of 2026 also contributed to higher energy import costs, despite a dinar appreciation against the dollar. This trend contrasts with Tunisia's 2035 energy strategy, which aims to enhance supply security, reduce fossil fuel