Mexico - Vietnam Trade 2023 Q2: Surging Deficit & Tech Imbalance

Key Market Takeaways: Mexico - Vietnam Trade

The bilateral trade relationship between Mexico and Vietnam is marked by rapid import growth and widening trade deficits in Q2 2023.

• Economic Pulse: Mexico’s trade deficit with Vietnam hit -$2.84B (imports: $2.94B vs. exports: $96.24M), driven by surging demand for Vietnamese goods (+33.39% YoY in June).
• Exchange Structure: Mexico - Vietnam trade statistics reveal a resource-for-tech imbalance—Mexico exports unclassified goods (HS 99, 52.64% share) while relying on Vietnam for high-tech components (HS 85, 56.59% share).
• Strategic Interdependence: Vietnam holds the higher value-add position, supplying critical inputs for Mexico’s electronics manufacturing, while Mexico’s exports remain concentrated in low-value intermediates.

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

Mexico-Vietnam Trade Trend in Q2 2023

Mexico Export Performance: Shipments to Vietnam

• Total Volume: $96.24M in Q2 2023.
• Growth Trend & Context:
  • YoY growth remained robust, averaging +65.3% across April–June, peaking at +54.29% in June.
  • May saw the highest MoM surge (+27%), while April recorded a sharp MoM drop (-26.43%).
• Key Volatility: May’s 27% MoM rebound offset April’s contraction, suggesting volatile demand or shipment timing.

Mexico Import Performance: Sourcing from Vietnam

• Total Volume: $2.94B in Q2 2023.
• Growth Trend & Context:
  • YoY growth accelerated to +33.39% in June, though May’s MoM dip (-11.51%) interrupted momentum.
• Key Volatility: April’s 11.09% MoM jump contrasted with May’s decline, indicating potential inventory adjustments.

Mexico - Vietnam Trade Balance & Market Dynamics

• Net Position: Mexico ran a trade deficit of -$2.84B (Imports $2.94B > Exports $96.24M).
• Relationship Status: Heavy reliance on Vietnamese imports, with exports negligible by comparison. The deficit widened YoY due to surging import demand.

Mexico Import Trend from Vietnam 2023 Q2 (Source: yTrade)**

Mexico Export Trend to Vietnam 2023 Q2 (Source: yTrade)**

Get Historical Mexico Vietnam Trade Records

Mexico-Vietnam Top Trading Products in Q2 2023

Mexico Export Profile: What Does Mexico Sell to Vietnam

• Top Commodity: Rank #1 export is HS Code 99 (52.64% share). This likely represents unclassified or special category goods, often used for industrial processing.
• Demand Driver: Vietnam imports these for industrial or manufacturing needs, given the high share of raw materials/intermediates (HS 41, 74).
• Concentration: Trade is highly concentrated, with HS Code 99 alone accounting for over 50% of exports.

Mexico Import Profile: What Does Mexico Buy from Vietnam

• Top Commodity: Rank #1 import is HS Code 85 (56.59% share), covering electrical machinery and equipment.
• Dependency Nature: Mexico relies heavily on Vietnam for high-tech components, indicating critical technology dependency in sectors like electronics manufacturing.

Mexico - Vietnam Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity. Mexico supplies raw materials (HS 41, 74) and unclassified goods (HS 99), while Vietnam dominates in high-tech exports (HS 85, 84).
• Value Chain Position: Vietnam holds the higher value-add position, with its exports dominated by complex electrical machinery (HS 85), while Mexico’s exports are skewed toward lower-value intermediates.

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

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

Check Detailed Mexico-Vietnam Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Mexico-Vietnam trade relationship is poised for continued expansion, driven by Vietnam’s insatiable demand for industrial inputs (HS 99) and Mexico’s reliance on high-tech components (HS 85). While Mexico’s exports to Vietnam show volatile monthly swings, the YoY growth (+65.3%) signals resilient demand, particularly for raw materials. However, the widening trade deficit (-$2.84B) demands urgent recalibration—expect pressure on Mexican policymakers to either boost export competitiveness or diversify import sources. Over the next year, bilateral trade will likely grow but remain asymmetrical, with Vietnam retaining the upper hand in value-added exports.

Strategic Moves

• Lock in Long-Term Supply Contracts: Mexican importers of Vietnamese electronics (HS 85) must secure fixed-price agreements to hedge against potential cost surges, especially as global tech supply chains face disruptions.
• Diversify Export Markets for Raw Materials: Mexican exporters should aggressively target alternative Asian buyers (e.g., Indonesia, Thailand) to reduce overreliance on Vietnam and mitigate concentration risk in HS 99 shipments.
• Invest in Upgrading Export Composition: Mexico’s trade deficit stems from low-value exports. Prioritize investments in processing capabilities (e.g., refining HS 74 copper) to capture more value before shipping to Vietnam.

Frequently Asked Questions

How did Mexico - Vietnam trade perform in 2023 Q2?

Mexico's exports to Vietnam totaled $96.24M, with strong YoY growth (+65.3% on average), while imports from Vietnam reached $2.94B, showing a 33.39% YoY increase in June.

What are the top exports from Mexico to Vietnam?

HS Code 99 (unclassified/special category goods) dominated, accounting for 52.64% of exports, alongside raw materials like HS 41 and 74 for industrial processing.

What does Mexico import from Vietnam?

HS Code 85 (electrical machinery and equipment) was the top import, representing 56.59% of shipments, highlighting Mexico's reliance on Vietnam for high-tech components.

What is the trade balance between Mexico and Vietnam?

Mexico ran a trade deficit of -$2.84B in Q2 2023, with imports ($2.94B) far exceeding exports ($96.24M), widening YoY due to surging Vietnamese import demand.