Mexico: Trade surplus catches analysts off-guard in December
January 28, 2019
Merchandise trade recorded a USD 1.8 billion surplus in December, up considerably from the negligible balance registered in the same month a year earlier on plummeting gasoline imports. Moreover, the result was considerably stronger than the USD 2.4 billion deficit recorded in November.
Export growth on an annual basis climbed to 4.3% from 2.8% in November, helped along by a broad-based improvement in non-oil and gas exports—and especially stronger manufacturing gains. Imports, meanwhile, fell 0.8% on the heels of November’s 10.4% rise. Consumer-good imports were down sharply, while intermediate-good imports—typically, a bellwether for fixed-capital spending—lost momentum from a month earlier.
As such, the 12-month trailing trade deficit narrowed to USD 13.7 billion from USD 15.5 billion in November.
Author: Christopher Thomas, Economist