Mexico - Malaysia Trade 2024 Q1: Electronics Dominate

Key Market Takeaways: Mexico - Malaysia Trade

The bilateral trade relationship between Mexico and Malaysia is marked by heavy reliance on Malaysian imports and volatile growth trends in Q1 2024.

• Economic Pulse: Mexico posted a $2.53B trade deficit with Malaysia, driven by $2.64B in imports (mixed YoY performance) versus $111.98M in exports (strong but slowing YoY growth).
• Exchange Structure: Mexico - Malaysia trade statistics reveal intra-industry trade, with electrical machinery (HS Code 85) dominating both exports (64.22%) and imports (69.95%), signaling deep electronics supply chain links.
• Strategic Interdependence: Malaysia holds a stronger position in high-tech value chains, while Mexico’s export growth suggests emerging but lopsided integration.

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

Mexico-Malaysia Trade Trend in Q1 2024

Mexico Export Performance: Shipments to Malaysia

• Total Volume: $111.98M in Q1 2024.
• Growth Trend & Context:
  • YoY growth remained strong across all months (Jan: +134.1%, Feb: +62.66%, Mar: +44.34%), though momentum slowed sequentially.
• Key Volatility: January saw the highest MoM surge (+41.8%), while February and March posted modest declines (-12.97% and -0.43%, respectively).

Mexico Import Performance: Sourcing from Malaysia

• Total Volume: $2.64B in Q1 2024.
• Growth Trend & Context:
  • YoY performance was mixed (Jan: -11.18%, Feb: +1.89%, Mar: -27.92%), reflecting inconsistent demand.
• Key Volatility: February spiked 21.95% MoM, but March collapsed (-30.95%), marking the lowest monthly value ($725.57M).

Mexico - Malaysia Trade Balance & Market Dynamics

• Net Position: Mexico ran a trade deficit of $2.53B (Imports $2.64B > Exports $111.98M).
• Relationship Status: Heavy reliance on Malaysian imports, with exports dwarfed by inbound shipments.

Mexico Import Trend from Malaysia 2024 Q1 (Source: yTrade)**

Mexico Export Trend to Malaysia 2024 Q1 (Source: yTrade)**

Get Historical Mexico Malaysia Trade Records

Mexico-Malaysia Top Trading Products in Q1 2024

Mexico Export Profile: What Does Mexico Sell to Malaysia

• Top Commodity: HS Code 85 (Electrical machinery) dominates exports, accounting for 64.22% of total value.
• Demand Driver: Malaysia likely imports these for industrial processing, indicating a supply chain link in electronics manufacturing.
• Concentration: The trade is highly concentrated, with HS Code 85 alone representing over 60% of exports.

Mexico Import Profile: What Does Mexico Buy from Malaysia

• Top Commodity: HS Code 85 (Electrical machinery) is also the top import, making up 69.95% of total value.
• Dependency Nature: This suggests a critical technology dependency, as Malaysia supplies high-value electronics components.

Mexico - Malaysia Trade Relationship Dynamics

• The Exchange Model: The bilateral trade shows Intra-Industry Trade, with both countries exchanging similar high-tech products (HS Codes 85, 84, 90).
• Value Chain Position: Malaysia holds a stronger position, given its higher export value in electrical machinery, indicating deeper integration in global electronics supply chains.

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 for Mexico-Malaysia Trade

The Mexico-Malaysia trade relationship is expected to remain volatile in the near term, with Mexico’s trade deficit likely to persist. While Mexican exports to Malaysia show strong YoY growth, the sequential slowdown in Q1 2024 suggests demand may plateau. Meanwhile, Malaysia’s inconsistent import performance—particularly the sharp March decline—indicates potential supply chain disruptions or shifting procurement strategies. Given the heavy reliance on electrical machinery (HS Code 85) from Malaysia, Mexico faces continued exposure to supply-side risks. Traders should prepare for fluctuations in both export demand and import pricing.

Strategic Moves for Mexican Businesses

1. Diversify Export Markets: Mexico must reduce its dependence on a single commodity (HS Code 85) by promoting other high-value sectors, such as automotive components (HS Code 87) or medical devices (HS Code 90), to Malaysian buyers.
2. Strengthen Supply Chain Resilience: Importers of Malaysian electronics should secure alternative suppliers or negotiate long-term contracts to mitigate price volatility and delivery delays, especially given March’s 30.95% MoM import collapse.
3. Leverage Trade Agreements: Mexican exporters should capitalize on existing ASEAN-Mexico trade frameworks to reduce tariffs and improve competitiveness, particularly for non-electrical machinery goods where Malaysia’s demand is underserved.

Proactive risk management and market diversification will be critical to stabilizing Mexico’s trade position with Malaysia in 2024.

Frequently Asked Questions

How did Mexico - Malaysia trade perform in 2024 Q1?

Mexico exported $111.98M to Malaysia, with strong YoY growth but slowing momentum. Imports from Malaysia totaled $2.64B, showing mixed YoY performance and significant monthly volatility.

What are the top exports from Mexico to Malaysia?

Electrical machinery (HS Code 85) dominates, accounting for 64.22% of Mexico’s exports to Malaysia, indicating a focus on high-tech industrial components.

What does Mexico import from Malaysia?

Electrical machinery (HS Code 85) is also the top import, making up 69.95% of total value, highlighting Malaysia’s role in supplying critical electronics components.

What is the trade balance between Mexico and Malaysia?

Mexico ran a trade deficit of $2.53B in Q1 2024, with imports far exceeding exports, reflecting heavy reliance on Malaysian high-tech goods.