In 2024, Mexico was recorded as the U.S.’s largest trade partner, with total trade volume reaching $1.5 trillion.
The USMCA, which went into effect in 2020, has led to a substantial increase in trade volume between Mexico and both the U.S. and Canada.
By the close of 2022, trade volume between the two countries had surged by almost 25%, reaching $863.4 billion. According to the United States Census Bureau, imports accounted for $500.7 billion of this amount. Mexico was the second largest supplier of imported goods to the U.S. in 2022, while the total volume of trade with Canada in the same year was $914.3 billion, with imports alone totalling $487.7 billion.
Mexico is now the largest exporter to the U.S.
By 2024, Mexico had overtaken all other countries to become the largest exporter to the U.S. At the end of 2023, Mexico’s foreign trade deficit was recorded at $5.46 billion.
In 2023, finished goods accounted for 89.2% of the total exports, which amounted to $593 billion. Oil and gas exports accounted for only 5.6% of this total, performing similarly to agricultural exports, which accounted for 3.7%. Manufacturing exports grew by 4.0% year-over-year in 2023, with heavy industry accounting for $402 billion of the total $529 billion (around 76% of manufacturing exports). Conversely, oil exports experienced a decline of 14.8%, from $39 billion to $33.2 billion.
The U.S. continues to be Mexico’s foremost trading partner.
The total value of trade between the two countries has reached $745.6 billion, with $490.2 billion of this consisting of goods exported from Mexico to the U.S. This results in a trade surplus for Mexico of $234.7 billion.
Local authorities in Mexico, however, have expressed concerns that Mexico should exercise caution to avoid being drawn into the geopolitical power struggle between China and the U.S.
The agreement, which came into force in 2020, has elevated Mexico to a position of significance in trade relations with the U.S., while Chinese companies have increased their investment in this region. With two major countries turning Mexico into a trade base, the country is emerging as an important player in world trade. To maintain its position as a key player in global trade, Mexico must exercise caution and avoid becoming embroiled in the economic disputes between the two superpowers.
