Data released by the U.S. Department of Commerce showed that in 2023 Mexico surpassed China for the first time in over 20 years to become the largest source of goods imported by the U.S.
Well-known Chinese news site NetEase (NASDAQ: NTES) ran a report about the Department of Commerce Data. Below are some excerpts from their article:
As part of the U.S.’ so-called “weaning off dependence on China” strategy, the U.S. Biden administration is urging companies to find suppliers in allied countries or move manufacturing operations back to the United States.
The value of U.S. imports from Mexico increased by nearly five percent from 2022 to 2023, reaching more than US$475 billion. At the same time, the value of U.S. imports from China fell by about 20 percent, to US$427 billion.
This is the first time in more than 20 years that Mexico has surpassed China and become the largest source of imported goods to the United States. The last time the value of U.S. imports from Mexico exceeded that from China was in 2002.
The biggest decline in U.S. imports from China was in commodities such as computers, electronic products, chemicals, and pharmaceuticals, which are all ‘politically sensitive’ for the United States.
The impact of COVID-19 on global supply chains has also forced American companies to look for nearshore suppliers. … However, the actual situation is more complicated than that. Some Chinese manufacturers have already established factories in Mexico too.
Source: NetEase, February 8, 2024