Canada no longer US no. 2 export partner
Mexico now exports more to the US than Canada does. According to the Commerce Department, Mexico-United States exports totalled $245 billion for the first 10 months of 2016, whereas Canada-United States exports total at $230 billion.
If this trend continues, 2016 will be the first year that the US has bought more from Mexico than from Canada.
Mexico’s economy has become more focused on manufacturing since the North American Free Trade Agreement; over 80 percent of its exports went to the US in 2015. The country’s attractiveness can be partly attributed to its relatively low wage costs.
Mexico's GDP increased by 1.0 percent in the third quarter, following an upwardly revised 0.1 percent in the second quarter. Notably, the rise was driven partially by Mexico's services sector.
The Mexican peso has weakened significantly against the US dollar over the past two years. This makes Mexican exports cheaper for Americans.
The Mexican peso is up by 0.9% at 20.4018 per dollar as of 2:20 p.m. ET.
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