Wednesday, February 21, 2024

Mexico was crowned the US’s largest trading partner and China was ousted

The Latin American country has relegated China and positioned itself in 2023 as the main source of goods imported to the United States. Official data shows a 5% increase in imports from Mexico to the world’s leading economies between 2022 and 2023 to $475 billion. The scenario further plunged the value of Chinese imports, which fell by 20% and caused a deterioration in relations between Beijing and Washington.

For the first time in two decades, the United States bought more goods from Mexico than from China. In terms of total US imports, the proportion represented by Chinese products remained at 13.9%, the lowest level since 2004, while Mexican products represented 15.4%.

The numbers show clearly and have been announced Joe Biden’s government aims to move away from China’s economy and closer to its “friendlier” partners. a deliberate practice is known as ‘friend-shoring’ and ‘nearshoring’.

And even though historically the relations between Beijing and Washington are not the best, the perfect scenario of distancing ourselves at the economic level was created by the COVID-19 pandemic, when the problems reached the supply chain and China was focused on creating controls. China is stricter with its “zero COVID” policy.

APEC: China and the United States seek to ease tensions in favor of their trade relationship

With the excuse of a trapped China and the aim of diversifying its supplier options, Mexico became the perfect choice.

From the Latin American country to its neighbor in the United States, the most exported are auto parts, and precisely the trade agreement in which Canada also entered, signed in 2018 but implemented in 2020, helped to improve commercial relations with the North American bloc.

Trade friends, but immigration enemies?

Although the trade results came as a balm for the Mexican economy, the uncertainty of what might happen at its borders with the United States was not well received.

A new law is being debated in the US Senate that promises to interrupt the flow of migration between the two countries if migration reaches a “saturation” point.

More than 4,000 migrants cross Mexico to the US despite dispersal efforts

According to the proposal, supported by President Biden, asylum seekers will be expelled from Mexico, and the border will be closed if the threshold of 5,000 irregular crossings per day is exceeded. A brand that even Donald Trump said doesn’t need to be reached to close the doors.

In this scenario of uncertainty, in the north of Mexico, in Ciudad Juárez, the maquilas have already lost more than 25,000 jobs, and the threat of the law being implemented has complicated the hiring of new staff.

World Nation News Desk
World Nation News Deskhttps://worldnationnews.com/
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