Top Mexican Trade Balances

Mexico City

Mexico City

Overall, Mexico posted a -$10.9 billion trade deficit in 2017 when all products are considered. That dollar amount in red ink is almost 2.5 times higher than the -$3.2 billion Mexican shortfall 7 years earlier in 2010.

Year over year, Mexico’s -$10.9 billion trade shortfall represents a -17.3% reduction from the -$13.2 billion deficit that North America’s southern-most nation incurred during 2016.

Refined petroleum, integrated circuits and microassemblies were major factors behind Mexico’s highest trade deficits by product. China and Japan placed first and second respectively among trade partners with which Mexico experienced the highest negative trade balances.

For first quarter 2018, Mexico’s trade deficit stood at -$1.4 billion reducing by half the -$2.8 billion in red ink during the same quarter in 2017.

Top Mexican Trade Balances by Product and Country

Product+

The following 10 leading products generated a surplus subtotal of $124.4 billion for Mexico in its global trade during 2017. Metrics listed below highlight Mexico’s strongest competitive advantages over worldwide trading partners.

  1. Cars: US$30.2 billion (Up 81.4% since 2010)
  2. Trucks: $22.3 billion (Up 166.8%)
  3. Crude oil: $19.9 billion (Down -44.5%)
  4. Computers, optical readers: $13.9 billion (Up 99.3%)
  5. TV receivers/monitors/projectors: $10.6 billion (Down -42.0%)
  6. Tractors: $6.3 billion (Up 87.9%)
  7. Phone system devices including smartphones: $6.1 billion (Up 6.7%)
  8. Insulated wire/cable: $6.1 billion (Up 118.1%)
  9. Seats (excluding barber/dentist chairs): $4.6 billion (Up 102.4%)
  10. Gold (unwrought): $4.3 billion (Down -22.5%)

Seven of Mexico’s top product surpluses rose in value from 2010 to 2017 led by: trucks (up 166.8%), insulated wire or cable (up 118.1%), seats excluding barber and dentist chairs (up 102.4%) and computers including optical readers (up 99.3%).

Positive trade balances for the remaining three top products fell in value over the 7-year period, namely crude oil (down -44.5%), TV receivers, monitors or projectors (down -42%) and gold (down -22.5%).

Product-

The 10 major products below accumulated a deficit subtotal of -$67.1 billion for Mexico in international trade during 2017. Mexico has demonstrated the severest competitive disadvantages in the exports and imports of the following commodities.

  1. Processed petroleum oils: -US$22.4 billion (Up 65.8% since 2010)
  2. Integrated circuits/microassemblies: -$14.2 billion (Up 46.0%)
  3. Petroleum gases: -$8.3 billion (Up 122.7%)
  4. Computer parts, accessories: -$5 billion (Up 4.7%)
  5. TV/radio/radar device parts: -$3.8 billion (Down -65.1%)
  6. Liquid crystal/laser/optical tools: -$2.8 billion (Down -7.6%)
  7. Engines (diesel): -$2.7 billion (Up 198.2%)
  8. Solar power diodes/semi-conductors: -$2.67 billion (Up 163.6%)
  9. Miscellaneous plastic items: -$2.61 billion (Down -16.2%)
  10. Lower-voltage switches, fuses: -$2.6 billion (Up 98.4%)

Mexico’s red ink in global trade expanded for seven of these top products led by: diesel engines (up 198.2%), solar power diodes or semi-conductors (up 163.6%), petroleum gases (up 122.7%) and lower-voltage switches and fuses (up 98.4%).

Trade deficits decreased over the 7-year period for television, radio or radar device parts (down -65.1%), miscellaneous plastic items (down -16.2%) and liquid crystal, laser or optical tools (down -7.6%).

Country+

In 2017, Mexico generated a surplus subtotal worth $141.9 billion with the following 10 trading partners.

  1. United States: US$132.3 billion (Up 41.8% since 2010)
  2. Canada: $1.6 billion (Down -22.7%)
  3. Colombia: $1.5 billion (Down -49.7%)
  4. Guatemala: $1.2 billion (Up 22.2%)
  5. Peru: $997.3 million (Up 56.7%)
  6. Venezuela: $961.7 million (Up 4%)
  7. Belgium: $916.3 million (Up 892.1%)
  8. Australia: $845.8 million (Reversing a -$113.1 million deficit)
  9. Panama: $805.2 million (Down -5.3%)
  10. Argentina: $681 million (Up 0.7%)

Mexico went from -$113.1 million in red ink trading with Australia during 2010 to a healthy $845.8 million surplus in 2017. Mexican trade surpluses with Belgium (up 892.1%), Peru (up 56.7%) and the United States (up 41.8%) grew at the fastest percentage paces.

Over the seven-year period, Mexico’s trade surplus declined with three of its top partners: Colombia (down -49.7%), Canada (down -22.7%) and Panama (down -5.3%).

Country-

Mexico experienced a money-losing international trade relationship with 140 countries, islands or territories. The following 10 trade partners created a -$134.3 billion deficit subtotal in 2017 from exchanging exports and imports.

  1. China: -US$67.4 billion (Up 62.8% since 2010)
  2. Japan: -$14.1 billion (Up 8%)
  3. South Korea: -$12.3 billion (Up 4.5%)
  4. Germany: -$9.5 billion (Up 25.9%)
  5. Malaysia: -$7.2 billion (Up 38.9%)
  6. Taiwan: -$7 billion (Up 32.4%)
  7. Thailand: -$5.4 billion (Up 110.8%)
  8. Italy: -$4.8 billion (Up 44.6%)
  9. Vietnam: -$4.3 billion (Up 471.9%)
  10. Philippines: -$2.2 billion (Up 50.2%)

Up 471.9%, Mexico’s trade deficit with Vietnam grew the fastest from 2010 to 2017. Mexico’s negative net exports with Thailand expanded by 110.8%. These were followed by the 62.8% increase for Mexican red ink resulting from trade with China then a 50.2% expansion specific to the Philippines.

The smallest rise among the above country-specific negative trade balances was the 4.5% gain in Mexico’s deficit versus South Korea.




 

See also Mexico’s Top 10 Imports, Mexico’s Top Trading Partners, Top Mexican Trade Balances and Mexico’s Top 10 Exports

Research Sources:
Trade Map, International Trade Centre. Accessed on March 3, 2018

Investopedia, Net Exports Definition. Accessed on March 3, 2018

The World Factbook, Field Listing: World, Central Intelligence Agency. Accessed on March 3, 2018

Wikipedia, Economy of Mexico. Accessed on March 3, 2018