There are only a handful of countries in the world that can claim to be the world's major oil producers. Mexico is one of them. Mexico has long been a trading partner of the world's developed economies such as the United States, Spain and New Zealand.
In fact, Mexico is the 9th largest exporting economy in the world. Having said that, this is their main export and import.
Main export
Oil
One of the main destinations for Mexican oil is the United States, which accounts for 48% of the country's oil production. The United States imported more than 210 million barrels of crude oil from Mexico. Other countries that supply Mexico with oil include Canada, China, Japan, New Zealand, Australia and Germany. Mexico currently earns $18 billion a year from crude exports alone, and given the country's large oil reserves, it's a revenue avenue that isn't expected to decline anytime soon.
Mexican oil accounts for more than 30 percent of government revenue, and it continues to attract and drive public and private sector investment in the country.
Car
Mexican auto exports grew, with the sector accounting for 11% of Mexico's total exports. Auto parts and accessories also make up a large portion of the export equation, with 7% of these products leaving the country for foreign markets. The numbers fluctuate over a few months, but that's to be expected as countries grapple with a recession and trade war.
Brands with manufacturing plants in Mexico include General Motors, Nissan, FCA Mexico, Volkswagen, Kia, Mazda, Toyota, Audi, Honda. Vehicle exports were low in the first few months of 2019, but quickly reached an all-time high in March 2019.
Mexico is the fifth largest exporter and manufacturer of specialized and heavy-duty vehicles and vehicle components, especially components used in the agricultural and construction industries. The United States and Canada receive the largest number of light vehicle exports from Mexico.
Minerals
Mexico is the world's seventh largest copper exporter and ninth largest gold exporter. Mexico has been in the mining and minerals business for centuries, during which time it has traded minerals with neighboring countries such as the United States.
The mining industry in Mexico is a major player in government revenue generation because the country has excellent geological potential for mining. Countries such as Canada, Germany, the United States, Japan and Spain have made significant mining investments in the country, making it an export destination for Mexican minerals.
Main import
Corn
Mexico is a major consumer of corn on the global market. The product's largest trading partner is the United States, which exported more than 44 million tons of corn to Mexico in 2019. Other countries supplying corn to Mexico include Argentina, which supplied Mexico with 150,000 tons of corn to supplement its exports from the U.S.
Motor
In 2017, Mexico imported $150 billion worth of electrical machinery and equipment from the rest of the world. Currently, motor imports account for 40% of the country's total annual imports. As its biggest import, the country has to find a different source for it, and India has quickly become one of its regular suppliers of $210 million worth of equipment.
The growth of electric machinery is mainly supported by mining and automobile manufacturing.
Refined oil
Mexico is increasingly reliant on refined products from the U.S. and other countries, even though they export crude to the same countries. Mexican refiners, accustomed to processing light crude oil, cannot meet demand and therefore rely on foreign countries to refine petroleum products.
The Mexican economy relies heavily on oil to keep its industries and manufacturing plants running, so they must keep oil products flowing through exports.
Medical equipment
80% of Mexico's medical supplies and equipment are imported into the country. The country has spent $5.7 billion procuring medical supplies for the health sector. The Mexican health sector is divided into three segments: medical services, pharmaceuticals/biopharmaceuticals, and medical devices.
In Mexico, all medical devices and equipment can be imported duty-free as long as the NAFTA Certificate of Origin is presented. With the growth of medical tourism in Mexico, the number of patients has soared, and so has the demand for high-quality medical equipment and equipment.
Medical tourism is one of the main reasons why medical devices are one of the main imports of the Mexican economy.
