Image credits: Alejandro Luengo
News Article

Mexico's Interest in Investing in Asia Grows

By Paloma Duran | Wed, 06/15/2022 - 11:53

The Chinese Chamber of Commerce in Mexico reported that the trade relationship between the two countries grew significantly in 2021. In addition, it announced that the current world trade situation represents an important opportunity for Mexico to continue growing its trade with China and attract more investment in the process.

Graciela Narcia, General director, the Chinese Chamber of Commerce in Mexico, reported that in 2021 trade between China and Mexico reached US$110.3 billion, a figure 22 percent higher than the US$90 billion received in 2019. In addition, Narcia highlighted that the commercial exchange between the two countries was US$32 billion in 1Q22. Consequently, both nations are expected to hit a new trade record this year.

"The current situation opens spaces for the Mexican government to establish a strategic alliance with the Chinese, especially because of the complementarity they could have in various sectors, including electronics and the automotive sector, but also to export from here to Asia,” said Amapola Grijalva, President, the Chinese Chamber of Commerce in Mexico.

Marcos Gottfried, President of both the China Home Life Expo and Tradex, explained that China mostly exports goods for the manufacturing industry and high-tech products to Mexico. He emphasized that since the demand for these products is high, there are several opportunities for China to further enter the Mexican market.

Narcia announced that the Chinese Chamber of Commerce will advise the companies interested in making use of these opportunities, especially because of the complexity regarding the import and export of products due to the lack of a free trade agreement. Moreover, Narcia highlighted that the Chinese chamber has also created a Business Verification Center and the Center for Mediation and Dispute Resolution, which will facilitate the commercial relationship between both nations.

Recently, various experts criticized Mexico for not to taking optimal advantage of its multiple trade agreements, especially with Latin American and Caribbean countries, since Mexico’s trade is still dependent on North America and Asia. Mexico’s main trading partners after the US are China, with 11 percent of the market share, South Korea, with 2.6 percent, Germany, with 2.5 percent, Canada, with 2.4 percent and Japan, with 2.1 percent.

The data used in this article was sourced from:  
Photo by:   Alejandro Luengo
Paloma Duran Paloma Duran Journalist and Industry Analyst