Mexico Set to Overtake China as Top US Import Source
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Mexico is on track to overtake China as the top source of imported goods to the US in 2023, ending China's 17-year streak in the top spot.
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The shift is driven by years of declining Chinese import share due to US tariffs, supply chain reshuffling after COVID, and "friendshoring" efforts.
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It's tricky to determine how much is true "friendshoring" vs Chinese firms shifting production to Mexico for better US access.
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Evidence shows US tariffs have driven Chinese firms to move production outside China to countries like Mexico.
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China's falling export numbers also reflect expanding trade ties with Russia as Western sanctions have blocked Russian access to other markets.