Mexico Surpasses China as Top Exporter to the U.S. After Two Decades

WASHIGTON: Recent trade data from the Commerce Department reveals a significant shift in the dynamics of U.S. imports. For the first time in two decades, Mexico has surpassed China as the top exporter of goods to the United States.

In 2023, Mexico sent $475.6 billion worth of goods to the U.S., marking a 5% increase from the previous year. In contrast, China’s exports to the U.S. experienced a notable 20% decline, totaling $427.2 billion.

The overall U.S. trade deficit in goods and services witnessed a substantial 19% decrease from 2022, amounting to $773.4 billion, the most significant annual drop since 2009. Contributing factors include a weaker dollar, making U.S. goods more affordable globally, and potential impacts of tariffs implemented during the Trump administration.

Changes in consumer behavior, with a shift towards services and decreased reliance on Chinese-produced electronics, also played a role.