The world is experiencing unprecedented changes, and the U.S. trade deficit with Mexico is a clear example, with an increase of 9% during the month of March. This deficit translates into expenses of about 14,662 million dollars due to the notable increase in imports from Mexico, which remains the main trading partner now, according to data provided by the BEA (Bureau of Economic Analysis).
Mexico has even surpassed countries such as China, increasing these commercial operations by 3.2% and managing to maintain that pace since March of this year, which reflects an important change in international logistics. This is significant, considering that China remains the world’s leading manufacturer and shipping leader.
A growing trade deficit
To have a broader context on this trade deficit in the United States, it is necessary to consider the exports that were made from that country, for some 26,901 million dollars, which translates into an increase of only 0.4% compared to February of the same year, with an amount of 80,164 million dollars in the first quarter.
Within a clearer vision of the privileged trade situation that Mexico currently enjoys in its shipments of goods to the United States, it is necessary to highlight the 119,850 million dollars because of exports made between the months of January and March. This represents a negative balance of about 39.685 billion dollars. These numbers can be compared with the exports made by China during the month of March, which had a value of 29,941 million dollars, also buying goods from the United States for about 12,772 million dollars, giving a total of 17,169 million dollars as a monthly deficit at that time.
However, China continues to demonstrate to the world that it is still an exporting power after the total amount of goods sold to the United States during that period was known, which was 97,629 million dollars.
Mexico making history in the logistics industry
Mexico has made history after the United States’ trade deficit was announced , due to the high percentage of imports that they have required from its neighboring country, to the point of surpassing China as the main supplier of an infinite number of goods, which just a few years ago was simply unthinkable. Those responsible for this historic change have been sectors such as product manufacturing and shipments of both light and heavy vehicles from Mexico to the United States.
According to the Council on Foreign Relations, this trade deficit is due to a notable increase in sales from Mexico to the North American country, arguing in its own words that “it is not mainly the result of Mexico taking market share from China but, rather, evidence of the evolution of the automotive industry in North America. And it is also evidence of the evolution from being an oil exporting country to a greater export, also of motor vehicles,” he concluded.
Sources:
The U.S. trade deficit with Mexico increased by 9% in March. The logistics World
The U.S. trade deficit rose 3.2% in March from a year earlier. EFE
The U.S. trade deficit with Mexico increased in March by 9%. Infobae
