Mexico Benefits From Supply-Chain Revamp

Mexico has been a key beneficiary of reworking the global supply chains that has seen companies find ways to be closer to the U.S. economy. Total Mexican exports rose 5.8% from a year earlier in May to $52.9 billion, the second-highest reading on record. Sales of manufactured goods have made up 88.6% of all exports so far in 2023. Much of that corresponds to automotive shipments to the U.S., which jumped 31% in value from a year ago. Another trend: Mexico’s northern states are a favorite destination for companies that aim to position their own operations or link with suppliers closer to the U.S., a process known as nearshoring which often means shifting production capacity away from China. Chinese companies are also setting up in Mexico to avoid American tariffs. Read more from Pro Farmer.