Mexican exports of products to China broke a record in 2021, reaching 9,079 million dollars, according to data from the Ministry of Economy.
After falling 4% in 2019, these exports from Mexico rose 13% in 2020 and 17% in 2021, at year-on-year rates.
China is the largest trader of products in the world: the first exporter and the second importer, after the United States.
In 2021, China’s merchandise imports totaled 2,439 million dollars, an increase of 19% over 2020.
What did Mexico sell to China in 2021? At the top were copper minerals and concentrates (3,352 million dollars), followed by auto parts (900 million) and lead minerals and concentrates (833 million).
China ranked as the third destination for Mexican exports of goods last year, below the United States and Canada.
Mexico also sold automobiles to that market for a customs value of 346 million dollars, waste and scrap copper for 234 million, centrifuges for 171 million and telephones for 163 million.
Now events in China continue to dominate the outlook for Asia, especially for emerging Asian economies, according to the latest outlook from the International Monetary Fund (IMF) in April.
The combination of more transmissible variants and the strict zero-Covid strategy in China has led to repeated mobility restrictions and localized lockdowns that, together with an anemic recovery in urban employment, have weighed on private consumption.
From the IMF’s perspective, recent closures in key manufacturing and trade hubs such as Shenzhen and Shanghai are likely to exacerbate supply disruptions elsewhere in the region and beyond.
In addition, the growth of real estate investment has slowed significantly.
External demand is also expected to be weaker in light of the war in Ukraine.
For the region more broadly, limited direct trade links with Russia and Ukraine mean indirect effects will be limited to the commodity price channel and indirect shocks through weaker demand from key trading partners such as the euro zone.