Mexico: Exports continued to decrease in February but pace of contraction moderates
March 28, 2016
In February, Mexico’s trade deficit totaled USD 725 million, which contrasted the USD 592 million surplus registered in the same month last year. Although the reading represented the 11th consecutive deficit, the shortfall was the smallest since April 2015. Nonetheless, it disappointed the markets, as they had expected a moderate surplus. The shortfall in February widened the 12-month rolling deficit up to February to USD 16.0 billion, which is the widest deficit since mid-2009.
The unexpected deficit in February resulted from a 2.3% year-on-year contraction in exports, which brought Mexico’s overseas sales to a total of USD 29.0 billion in February (February 2015: USD 29.7 billion). Meanwhile, imports totaled USD 29.7 billion in February, which represented a 2.1% increase compared to the USD 29.1 billion registered in the same month last year.
Author: Ricardo Aceves, Senior Economist