Mexico Holds Top U.S. Trade Partner Status for Second Year, Navigates New Tariff Landscape

In March 2025, Mexico’s exports surged to $55.5 billion, a 9.6% increase from the previous year, according to official data from the National Institute of Statistics and Geography.

This growth came despite the United States imposing a 25% tariff on Mexican steel, aluminum, and certain derivatives starting March 12. Manufactured goods led the way, reaching $49.99 billion, up 10% year-on-year.

Machinery and special equipment exports jumped 50.2%, while automotive products rose 6.2%. Mexico’s trade surplus reached $3.44 billion, the highest in more than two years, as imports also climbed 7.1% to $52.08 billion.

April 2025 saw merchandise exports continue to rise, up 5.8% annually, even as U.S. tariffs remained in place. Exports to the U.S. kept growing, with about 80% of Mexican goods still heading north.

However, Mexico’s monthly trade balance slipped to a slight deficit of $0.1 billion, reflecting shifting trade patterns and ongoing uncertainty about future U.S. tariff policy.

Mexico’s position as the United States’ top trading partner remains unchallenged. In February 2025, Mexico accounted for 14.7% of total U.S. trade, ahead of Canada and China.

Mexico Becomes Top U.S. Trade Partner Amid Tariff Uncertainty

Official U.S. Census Bureau figures show Mexican exports to the U.S. reached $41.6 billion in February, while imports from the U.S. to Mexico stood at $26.8 billion. Canada and China trailed, with China’s share of U.S. trade falling to 10% as its exports to the U.S. declined.

The robust performance of Mexican exports in early 2025 was partly driven by companies accelerating shipments before tariffs took effect. Non-oil shipments, especially mining products and industrial machinery, saw the largest gains.

At the same time, Mexico’s economy faces new risks. The central bank and analysts warn that persistent tariff threats and policy uncertainty could limit growth and disrupt supply chains.

Despite these challenges, Mexico’s export sector has shown resilience. Deep integration with U.S. supply chains and the support of the USMCA trade pact have helped maintain strong trade flows.

Still, the evolving tariff landscape means both Mexican and U.S. businesses must stay alert to sudden policy shifts that could reshape the region’s economic future.