Mexico Trade Balance Swings to Deficit in June

Mexico’s trade balance shifted to USD 897 million deficit in June of 2018 from a USD 0.81 million surplus a year earlier and worse than market expectations of a USD 250 million shortfall. Imports increased 8 percent, boosted by oil purchases while exports rose 5.5 percent.
INEGI Stefanie Moya | 7/27/2018 2:03:47 PM
Year-on-year, imports advanced 8 percent to USD 38,381 million in June of 2018. Oil imports edged up 51.7 percent to USD 4,703 million and non-oil purchases increased 3.8 percent to USD 33,678 million, due to capital goods (9.8 percent); consumer goods (9.4 percent) and intermediate (7.5 pecent).

Exports went up 5.5 percent to USD 37,484 million, as non-oil sales which accounted for around 93 percent of total exports, rose 3.6 percent to USD 34,974 million. Sales advanced for  manufactured goods (3.5 percent), mainly due to food, beverages and tobacco (8.3 percent), professional and scientific equipment (6.7 percent),  automotive products (5.9 percent), plastic and rubber products (5.5 percent) and machinery and special equipment for diverse industries (2.6 percent). Additionally, exports grew for agricultural goods (2.3 percent), namely melon, watermelon and papaya (82.3 percent), fish, crustaceans and mollusks (70 percent), cattle (62.1 percent), fruits and edible fruits (32.6 percent) and tomato (18.4 percent). Also, mining sales  increased 9.5 percent.

Oil exports jumped 41.0 percent to USD 2,510 million in June of 2018. Mexico sold 1,222 million barrels a day, lower than the 1,157 million recorded in the same month a year ago. Crude oil prices picked up to USD 64.60 a barrel, USD 23.30 more than June of 2017.

Non-oil dispatches to the US, which accounted for more than 80 percent of total sales, rose 2.8 percent, mostly due to exports of autos (2.8 percent) and other products (2.9 percent). Exports to the rest of the world went up 6.9 percent, due to higer sales of autos (21.3 percent) and other products (0.5 percent).

On a seasonally adjusted monthly basis, the trade deficit widened to USD 1,652 million from USD 1,355 million in May 2018, as expors fell 0.79 percent while imports increased 0.01 percent.

Mexico Trade Balance Swings to Deficit in June