Mexico - Malaysia Trade 2023 Whole Year: $11.59B Deficit

Key Market Takeaways: Mexico - Malaysia Trade

The bilateral trade relationship between Mexico and Malaysia is heavily skewed toward imports, with Mexico running a significant deficit in 2023.

• Economic Pulse: Mexico imported $11.99B from Malaysia but exported only $399.79M, resulting in an $11.59B trade deficit. Despite strong export growth (peaking at +204.2% YoY), imports dominated the dynamic.
• Exchange Structure: The trade is intra-industry, centered on electrical machinery (HS 85)—72.53% of Mexico’s imports and 51.80% of its exports. This reflects deep supply chain integration, likely in electronics manufacturing.
• Strategic Interdependence: Malaysia holds a stronger position in high-value tech exports, while Mexico’s role remains peripheral. The imbalance highlights Mexico’s dependency on Malaysian machinery and components.

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

Mexico-Malaysia Trade Trend in Whole Year 2023

Mexico Export Performance: Shipments to Malaysia

• Total Volume: Mexico exported goods worth $399.79 million to Malaysia in 2023.
• Growth Trend & Context:
  • Exports showed strong YoY growth in most months, peaking at +204.2% in September.
  • The highest MoM surge occurred in August (+79.48%), while the steepest drop was in December (-34.4%).
• Key Volatility: August stood out with a $60.28 million shipment, the highest monthly value.

Mexico Import Performance: Sourcing from Malaysia

• Total Volume: Mexico imported $11.99 billion worth of goods from Malaysia in 2023.
• Growth Trend & Context:
  • Imports faced consistent YoY declines, with the sharpest drop in September (-34.01%).
  • MoM volatility was notable, with April showing an 11.8% rise and September a -20.42% plunge.
• Key Volatility: April recorded the highest monthly import value ($1.13 billion), while September hit the lowest ($846.11 million).

Mexico - Malaysia Trade Balance & Market Dynamics

• Net Position: Mexico ran a trade deficit of $11.59 billion with Malaysia (Imports: $11.99B > Exports: $399.79M).
• Relationship Status: Mexico is heavily dependent on imports from Malaysia, with exports playing a minor role in the trade dynamic.

Mexico Import Trend from Malaysia 2023 Whole Year (Source: yTrade)**

Mexico Export Trend to Malaysia 2023 Whole Year (Source: yTrade)**

Get Historical Mexico Malaysia Trade Records

Mexico-Malaysia Top Trading Products in Whole Year 2023

Mexico Export Profile: What Does Mexico Sell to Malaysia

• Top Commodity: Electrical machinery (HS 85) dominates at 51.80% of exports.
• Demand Driver: Malaysia likely uses these for industrial processing, given the high share of machinery and intermediate goods (HS 85, 84, 76).
• Concentration: Trade is highly concentrated, with HS 85 alone accounting for over half of exports.

Mexico Import Profile: What Does Mexico Buy from Malaysia

• Top Commodity: Electrical machinery (HS 85) is also the top import, making up 72.53% of purchases.
• Dependency Nature: Critical technology dependency, as imports are heavily skewed toward high-tech machinery and equipment.

Mexico - Malaysia Trade Relationship Dynamics

• The Exchange Model: Intra-Industry Trade, with both sides exchanging similar categories (e.g., HS 85, 84, 76). This suggests deep supply chain integration, likely in electronics or machinery manufacturing.
• Value Chain Position: Malaysia holds a stronger position, given its higher-value exports (e.g., HS 85 at 72.53% vs. Mexico's 51.80%). The asymmetry in trade values (Malaysia exports $8.7B vs. Mexico's $207M) further underscores this imbalance.

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

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

Check Detailed Mexico-Malaysia Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Mexico-Malaysia trade relationship is poised for continued volatility, with Mexico’s heavy reliance on Malaysian high-tech imports likely to sustain the $11.59 billion deficit. However, Mexico’s export growth—peaking at +204.2% YoY in September 2023—signals emerging opportunities in electrical machinery (HS 85) trade. Over the next year, expect Malaysia to tighten its grip as a critical supplier, while Mexican exporters must aggressively diversify to reduce dependency. Without structural shifts, the trade imbalance will persist, exposing Mexico to supply chain risks in key tech sectors.

Strategic Moves

• Diversify Import Sources: Reduce overreliance on Malaysian electronics by securing alternative suppliers in Vietnam or Thailand to mitigate concentration risk.
• Boost Export Competitiveness: Mexican exporters of HS 85 goods should target ASEAN markets with trade incentives, leveraging Malaysia as a re-export hub to scale regional presence.
• Optimize Supply Chains: Manufacturers in Mexico must adopt JIT inventory systems for Malaysian inputs to manage cost volatility, particularly during MoM swings like the 20.42% September drop.

Frequently Asked Questions

How did Mexico - Malaysia trade perform in 2023 Whole Year?

Mexico exported $399.79 million to Malaysia and imported $11.99 billion, with exports showing strong YoY growth but imports facing consistent declines.

What are the top exports from Mexico to Malaysia?

Electrical machinery (HS 85) dominates, accounting for 51.80% of Mexico’s exports to Malaysia, followed by other industrial goods like machinery (HS 84) and aluminum (HS 76).

What does Mexico import from Malaysia?

Electrical machinery (HS 85) is the top import, making up 72.53% of purchases, highlighting Mexico’s high-tech dependency on Malaysian exports.

What is the trade balance between Mexico and Malaysia?

Mexico had a trade deficit of $11.59 billion with Malaysia in 2023, driven by heavy reliance on imports of high-value machinery and equipment.