Argentina - Mexico Trade 2023 Q4: Widening Deficit

Key Market Takeaways: Argentina - Mexico Trade

The bilateral trade relationship between Argentina and Mexico is marked by volatility and a widening deficit in Q4 2023.

• Economic Pulse: Argentina posted a -$143.78M trade deficit with Mexico (exports: $216.89M, imports: $360.67M), with sharp YoY declines in exports (-31.73% in December) and erratic import swings.
• Exchange Structure: Argentina - Mexico trade statistics reveal a resource-for-tech dynamic—Argentina relies heavily on a single export (HS 99, 75.26% share, likely raw materials) while importing machinery and vehicles (HS 84-87) from Mexico.
• Strategic Interdependence: The partnership is highly complementary but imbalanced, with Mexico holding the value-add advantage in industrial goods.

This bilateral trade snapshot is based on verified customs data from the yTrade database.

Argentina-Mexico Trade Trend in Q4 2023

Argentina Export Performance: Shipments to Mexico

• Total Volume: $216.89M in Q4 2023.
• Growth Trend & Context:
  • YoY declines persisted across all months, with December’s -31.73% drop being the sharpest. No trade policy shifts were reported to explain the contraction.
  • Key Volatility: December saw a 35.21% MoM surge, reversing the prior two months’ declines (-25.62% in October, -6.42% in November).

Argentina Import Performance: Sourcing from Mexico

• Total Volume: $360.67M in Q4 2023.
• Growth Trend & Context:
  • YoY swings were extreme: +29.07% in October, then -12.03% in November, and -42.45% in December. No news context was provided for the volatility.
  • Key Volatility: December imports cratered by -29.39% MoM, the steepest monthly drop, following November’s -21.45% decline.

Argentina - Mexico Trade Balance & Market Dynamics

• Net Position: Argentina ran a trade deficit of -$143.78M (Exports $216.89M vs. Imports $360.67M).
• Relationship Status: Heavy reliance on Mexican imports, with exports failing to offset despite December’s rebound. The deficit widened sharply from Q4 2022 trends.

Argentina Import Trend from Mexico 2023 Q4 (Source: yTrade)**

Argentina Export Trend to Mexico 2023 Q4 (Source: yTrade)**

Get Historical Argentina Mexico Trade Records

Argentina-Mexico Top Trading Products in Q4 2023

Argentina Export Profile: What Does Argentina Sell to Mexico

• Top Commodity: HS Code 99 dominates exports, accounting for 75.26% of total value.
• Demand Driver: The high share suggests Mexico relies on Argentina for a specific, likely industrial or agricultural, input.
• Concentration: Extreme reliance on one category (75.26%), indicating a narrow export base.

Argentina Import Profile: What Does Argentina Buy from Mexico

• Top Commodity: HS Code 87 (vehicles) leads imports at 29.69% of total value.
• Dependency Nature: Machinery (HS 84, 85) and vehicles (HS 87) point to industrial and technological dependency.

Argentina - Mexico Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity. Argentina exports a concentrated commodity (likely raw material) while importing high-value machinery and vehicles.
• Value Chain Position: Mexico holds the higher value-add position, supplying advanced industrial goods, while Argentina’s exports suggest a primary or intermediate goods role.

Import Analysis by Product: Mexico to Argentina (Source: yTrade)

Export Analysis by Product: Argentina to Mexico (Source: yTrade)

Check Detailed Argentina-Mexico Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

Argentina’s trade deficit with Mexico is likely to persist in the near term, given the structural imbalance between high-value industrial imports and concentrated commodity exports. The extreme volatility in Q4 2023—particularly the sharp December declines—suggests underlying demand instability, possibly tied to macroeconomic conditions in both markets. However, the rebound in Argentina’s December exports (35.21% MoM) indicates latent demand for its key commodity (HS 99), which could stabilize if supply chains remain reliable. Without policy intervention or diversification, Mexico will retain its upper hand in the resource-for-tech exchange model.

Strategic Moves

• Diversify Export Basket: Argentine exporters must reduce reliance on HS 99 by identifying secondary commodities with demand in Mexico, such as processed foods or specialty chemicals, to mitigate concentration risk.
• Lock In Supply Agreements: Importers of Mexican machinery (HS 84, 85) and vehicles (HS 87) should negotiate long-term contracts to hedge against price swings and ensure stable access to critical industrial inputs.
• Monitor Macro Signals: Traders on both sides should track Argentina’s fiscal reforms and Mexico’s nearshoring trends, as shifts in either economy could abruptly alter trade flows. Adjust procurement and marketing strategies quarterly.

Frequently Asked Questions

How did Argentina - Mexico trade perform in 2023 Q4?

Argentina's exports to Mexico totaled $216.89M, with persistent YoY declines, while imports from Mexico reached $360.67M, showing extreme YoY volatility.

What are the top exports from Argentina to Mexico?

HS Code 99 dominates Argentina's exports to Mexico, accounting for 75.26% of total value, likely representing a specific industrial or agricultural input.

What does Argentina import from Mexico?

Argentina primarily imports vehicles (HS Code 87, 29.69% of total value) and machinery (HS Codes 84, 85), indicating industrial and technological dependency.

What is the trade balance between Argentina and Mexico?

Argentina recorded a trade deficit of -$143.78M with Mexico in Q4 2023, reflecting heavy reliance on Mexican imports and a widening gap compared to previous trends.