Puerto Vallarta, Mexico – Mexico broke a record in its exports of products to the United States in April and achieved a significant milestone in its market share of total imports to the U.S. in the first four months of 2024, according to a report from the U.S. Census Bureau released on Thursday.
In April, Mexican exports grew at an annual rate of 13.2%, reaching $43 billion. This growth surpassed the average increase in total imports to the U.S. market, which rose by 8.5%, totaling $271 billion. This exceptional performance contributed to Mexico capturing a 15.9% share of the total U.S. foreign purchases of merchandise in the first four months of the year, a new high compared to previous years’ records of 14% in 2022 and 15.4% in 2023.
Mexico’s export performance highlights its increasing competitiveness, particularly against Canada and China. Canadian exports to the U.S. increased by 2.7% in April, reaching $34.8 billion, while Chinese exports fell by 4.2%, totaling $31.63 billion. This shift underscores Mexico’s growing role in the context of nearshoring, as companies seek to relocate their supply chains closer to the U.S. due to the ongoing trade tensions with China.
Additionally, Mexico showed significant dynamism by increasing its imports from the United States by 18.3% in April compared to the same month in the previous year, totaling $29 billion. The strength of the Mexican peso against the U.S. dollar contributed to the boost in Mexican imports during the first four months of the year.
Although Mexican imports from the United States grew substantially, overall U.S. external purchases increased by 5.6% in April, reaching $171 billion. The results for Mexico were also influenced by a calendar effect, with Holy Week occurring in March this year, unlike in April 2023.
From January to April, Mexico remained the leading trade partner of the United States, with a 16% share in the trade of U.S. products (imports and exports), surpassing Canada at 14.8% and China at 10.4%.
The Bank of Mexico reported that the average value in dollars of Mexican manufacturing exports in seasonally adjusted terms saw a modest improvement compared to the fourth quarter of 2023. This was attributed to a recovery in the non-automotive sector, which had shown weakness during the latter half of 2023. Conversely, automotive exports showed signs of a downward trend.
Estimates of unit value and implicit volume indices suggest that the increase in non-oil goods exports in the first quarter of 2024 resulted from a rise in volume, as the estimated price of these goods experienced a moderate decline.
Mexico’s robust performance in exports and its strategic position as a key trade partner of the United States underscore its growing economic significance and competitiveness on the global stage. As the dynamics of international trade continue to evolve, Mexico’s role in the North American market remains crucial.
Puerto Vallarta, Mexico – Mexico broke a record in its exports of products to the United States in April and achieved a significant milestone in its market share of total imports to the U.S. in the first four months of 2024, according to a report from the U.S. Census Bureau released on Thursday.
