Mexico - Malaysia Trade 2024 Q2: $3.35B Deficit

Key Market Takeaways: Mexico - Malaysia Trade

The bilateral trade relationship between Mexico and Malaysia is marked by heavy reliance on Malaysian imports and volatile export growth in 2024 Q2.

• Mexico runs a $3.35B trade deficit, with imports ($3.46B) dwarfing exports ($113.64M). June saw a 20.94% MoM spike in imports, signaling accelerating demand.
• Mexico - Malaysia trade statistics reveal intra-industry exchange, dominated by electrical machinery (HS 85) for both exports (57.43%) and imports (70.29%). This suggests deep supply chain integration in tech sectors.
• Strategic asymmetry persists: Malaysia holds the upper hand as a critical supplier of high-value electronics, while Mexican exports remain marginal.

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

Mexico-Malaysia Trade Trend in Q2 2024

Mexico Export Performance: Shipments to Malaysia

• Total Volume: $113.64M in Q2 2024.
• Growth Trend & Context:
  • YoY growth was strong in May (+95.29%) but moderated in June (+28.73%), indicating fluctuating demand.
  • No specific trade news to explain the volatility.
• Key Volatility: May saw a 13.09% MoM surge, while June dipped slightly (-1.42%).

Mexico Import Performance: Sourcing from Malaysia

• Total Volume: $3.46B in Q2 2024.
• Growth Trend & Context:
  • YoY growth accelerated in June (+15.25%), reversing a softer May (+2.91%).
  • No relevant news to contextualize the trends.
• Key Volatility: June imports spiked 20.94% MoM, the highest monthly gain in the quarter.

Mexico - Malaysia Trade Balance & Market Dynamics

• Net Position: Mexico ran a trade deficit of $3.35B (Imports $3.46B > Exports $113.64M).
• Relationship Status: Heavy reliance on Malaysian imports, with exports playing a marginal role.

Mexico Import Trend from Malaysia 2024 Q2 (Source: yTrade)**

Mexico Export Trend to Malaysia 2024 Q2 (Source: yTrade)**

Get Historical Mexico Malaysia Trade Records

Mexico-Malaysia Top Trading Products in Q2 2024

Mexico Export Profile: What Does Mexico Sell to Malaysia

• Top Commodity: HS Code 85 (Electrical machinery) dominates at 57.43% of exports.
• Demand Driver: Malaysia likely uses these for industrial processing, given the high share of machinery and intermediate goods (HS 84, 76, 39).
• 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: HS Code 85 (Electrical machinery) leads at 70.29% of imports.
• Dependency Nature: Critical technology dependency, as Malaysia supplies high-value electronics and machinery.

Mexico - Malaysia Trade Relationship Dynamics

• The Exchange Model: Intra-Industry Trade, with both sides heavily exchanging electrical machinery (HS 85) and related components.
• Value Chain Position: Malaysia holds a stronger position, given its higher export value and share in advanced categories like HS 85 and 84.

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 expected to remain volatile in the near term, with Mexico’s export growth showing erratic demand signals while imports from Malaysia continue to surge. Given the heavy reliance on electrical machinery (HS 85) in both directions, supply chain disruptions or shifts in global tech demand could amplify fluctuations. However, Malaysia’s accelerating import growth in June suggests sustained demand for Mexican intermediate goods, particularly in industrial processing. Traders should brace for a widening trade deficit unless Mexico diversifies its export basket or secures higher-value niches in the electronics supply chain.

Strategic Moves

• Diversify Export Offerings: Mexican exporters must reduce dependence on HS 85 by targeting secondary Malaysian demand sectors, such as automotive components (HS 87) or agro-industrial products, to mitigate concentration risk.
• Optimize Supply Chain Agility: Given the intra-industry trade in electronics, firms should adopt just-in-time inventory systems and explore nearshoring alternatives to counter potential disruptions in Malaysian component flows.
• Leverage Trade Diplomacy: Mexico should negotiate preferential terms for its machinery exports under existing ASEAN-Mexico agreements to narrow the deficit and secure stable pricing for critical Malaysian imports.

Frequently Asked Questions

How did Mexico - Malaysia trade perform in 2024 Q2?

Mexico's exports to Malaysia totaled $113.64M, with strong YoY growth in May (+95.29%) but moderated in June (+28.73%). Imports from Malaysia reached $3.46B, with a 20.94% MoM spike in June.

What are the top exports from Mexico to Malaysia?

Electrical machinery (HS Code 85) dominates Mexico's exports to Malaysia, accounting for 57.43% of total shipments, followed by machinery (HS 84), aluminum (HS 76), and plastics (HS 39).

What does Mexico import from Malaysia?

Mexico primarily imports electrical machinery (HS Code 85) from Malaysia, making up 70.29% of total imports, reflecting a critical technology dependency.

What is the trade balance between Mexico and Malaysia?

Mexico recorded a trade deficit of $3.35B with Malaysia in Q2 2024, driven by heavy reliance on Malaysian imports, particularly in high-value electronics and machinery.