Mexico and China are ‘close friends and rivals’: What products do we sell to them and which do we buy from them?

The trade relationship between Mexico and China has managed to increase considerably, and is now positioned just behind the United States.

Mexico and China have a very close economic relationship, to such a degree that the strength of trade between both countries continues to increase.

This occurs despite the fact that world trade has faced difficulties in advancing in most economies, but fortunately products from China that enter Mexico have been spared.

That is why here we will tell you how positive the economic relationship between Mexico and China is.

What does Mexico buy from China and for how many millions?
According to figures from the Ministry of Economy (SE), Mexico has made various international purchases from China, according to data from January 2024, the most recent.

What China sells most to Mexico are mobile devices and other items:

10.8 percent of purchases made from China were phones and other mobile devices for a total of $909 million.
6.26 percent of purchases were automobiles and vehicles designed for the transportation of people, this is equivalent to a sum of 529 million dollars.
4.11 percent of purchases made from China were automotive parts and accessories to the tune of $347 million.
3.52 percent of purchases from China were machinery parts and accessories, equivalent to a sum of 298 million dollars.

3.04 percent of the purchases that our country made from China were in machines and processing units, this for a sum equivalent to 257 million dollars.
2.61 percent of purchases were in electronic integrated circuits for 220 million dollars.
Our country also bought other types of items from China, such as electrical wires and cables, air pumps or vacuum pumps, printed circuits, machinery parts, electrical appliances, among others.

Which states benefit most from the Mexico-China relationship?
Mexico City is the main destination for international purchases made from China, concentrating 28.4 percent of the total.

Nuevo León appears in second place, with 11.4 percent, while Chihuahua occupies third position, with 10.7 percent of the purchases made. Fourth place is a tie between the State of Mexico and Jalisco, entities that gather 10.1 percent each. Fifth position is for Baja California, with 9.58 percent of purchases.

That is, China’s participation in Mexico’s imports reached a level of 21.3 percent last January.

What does Mexico sell to China?

Our economy has also carried out various international sales to China at the start of the year. What Mexico sells the most to China is copper, among other items:

41.5 percent of the sales made to China in January were in copper ores and their concentrates for a sum of 3.317 million dollars.
11.8 percent of sales to China were parts and accessories of motor vehicles for a sum equivalent to 943 million dollars.
5.81 percent of Mexico’s sales to China were in lead minerals and their concentrates, for a sum of 465 million dollars.
2.87 percent of sales made to China have been boards, consoles and other bases for 230 million dollars.
2.13 percent of Mexico’s sales to China correspond to integrated electronic circuits for 171 million dollars.
Sonora is the main entity from which international sales go to China, since 32.4 percent of total exports are concentrated here. The second position goes to Mexico City, with 24.7 percent, while the third place goes to Puebla, with 17 percent. Jalisco appears in fourth place, with 5.03 percent, while Chihuahua, with 3.7 percent of total sales, is in fifth place.

While China’s participation in Mexico’s exports has reached a level of 1.82 percent at the start of the year.

How favorable is the trade relationship between Mexico and China?
The trade relationship between Mexico and China is favorable for economic development, but it is a bit complicated. This is because both economies have an export profile and this makes them competitors, especially in the task of providing products to the United States market.

Furthermore, the trade balance between Mexico and China is unfavorable, to such an extent that during 2023 the level of exports from our country barely reached a sum of 18 billion dollars and on the other hand, imports managed to exceed 81 billion dollars. . In other words: we buy a lot and sell little.

The figures even position China as Mexico’s second trading partner, ranking only behind the United States.

When considering the growing investments being made between Mexico and China, it is very likely that the pace of growth will accelerate and the relationship between both countries will become closer. Just like two close friends in economics.

Source: elfinanciero