Mexican Exports Slump 2.9% as Auto Industry Faces U.S. Tariff Pressure

Mexico’s National Institute of Statistics and Geography (INEGI) reported Thursday that exports fell 2.9% year-over-year in February 2025. Total exports reached $49.28 billion while imports dropped more sharply by 8.3% to $47.07 billion.

The export decline stems primarily from significant drops in automotive and petroleum sectors. Automotive exports plummeted 15.2%, with shipments to the United States falling 10.7% and exports to other markets crashing 40.2%.

Mexico currently ranks as the world’s fourth-largest vehicle exporter behind Germany, Japan, and the United States. The US market receives about 84% of Mexican vehicle exports.

Rogelio Garza, president of the Mexican Automotive Industry Association, blames rising US inflation for the slowdown. US inflation reached 3% in January, up from 2.4% in September.

Petroleum exports totaled $1.99 billion in February. The average price for Mexican crude stood at $68.99 per barrel, up $1.42 from January but down $2.69 from February 2024.

Daily crude export volume reached 752,000 barrels, exceeding January’s 573,000 barrels but falling well below the 957,000 barrels recorded in February 2024.

Agricultural exports declined 6.1% to $2.18 billion. Cattle exports suffered the most with a 73.2% drop. Extractive exports bucked the trend, growing 17.4% to $0.87 billion.

The trade figures arrive amid escalating North American trade tensions. President Trump’s 25% tariffs on Mexican goods took effect March 4, with USMCA-compliant products receiving an extension until April 2.

Mexico responded by raising import tariffs on textile products to 35%. These defensive measures will remain in effect until April 2026.

Despite the February downturn, Mexico maintains a trade surplus of $2.21 billion, reflecting the steeper decline in imports than exports.