Mexico: Trade balance turns negative for the first time this year
September 9, 2011
In July, the trade balance incurred a deficit of USD 1.18 billion (June: USD 108 million surplus) according to data released by the statistical institute (INEGI) on 9 September. The figure surprised the market on the downside, as analysts expected the trade balance to record a deficit of USD 670 million. Exports moderated from a 21.6% expansion in June to 19.4% in July, led by a slowdown in oil exports. Oil exports decelerated from an extraordinary 92.2% expansion in June to a 32.2% increase in July, while non-oil exports picked up from 13.3% in the previous month to 17.2%. Meanwhile, imports edged down from a 19.6% expansion in June to a 19.2% increase in July. The moderation in imports was broad-based albeit mainly reflected slower imports of consumer goods.