Chile’s economy shrank by 0.2% year-on-year in the second quarter of 2026, defying expectations of a 0.2% expansion. The disappointing GDP result was largely driven by a 6.4% contraction in the mining sector, with copper output plunging 10.5%. Activity also declined in fishing (-5.9%), construction (-3.2%), transport (-0.6%), agriculture and forestry (-0.3%), manufacturing (-0.3%), and public administration (-0.2%).
By contrast, several service-related sectors continued to grow. Utilities output rose 1.7%; commerce, restaurants and hotels expanded 2.0%; retail services increased 2.3%; personal services advanced 2.4%; financial and business services grew 0.6%; and communications and information services edged up 0.2%. As a result, non-mining GDP rose 0.7%.
On a quarterly basis, overall GDP was flat, following a 0.3% decline in the first quarter of 2026.
