Mexico Update: June, 2019

June 3, 2019
By George W. Hammond, research professor and director of the Economic and Business Research Center
EBRC

Want to learn more about Mexico's economy? Trying to keep abreast of changes in the U.S.-Mexico trade relationship and the economic environment for our nearest neighbor to the south? Browse research and news the AZMEX team recommends this quarter.

Research on the Mexican economy and U.S.-Mexico trade

The Mexico Economic Update from the Federal Reserve Bank of Dallas is available. Check out the latest high-frequency data for the Mexico economy which showed that Q1 2019 GDP contracted 0.8%, after 1.0% growth in Q4 2018. This report also held the 2019 growth forecast steady at 1.6%.

Visit the Mexico Institute research website at the Wilson Center for up-to-date coverage on the USMCA ratification process.

Also, consider attending the Sixth Annual Building a Competitive U.S.-Mexico Border Conference (in person or via webcast on Thursday, June 20th): Topics covered at the conference will include the USMCA, strengthening security and efficiency at border ports of entry, the impact of tariffs and reduced staffing on trade, and growing cross-border cooperation for regional economic development.

Don’t miss the latest IMF World Economic Outlook including forecasts for Mexico! This outlook confirms that global economic activity slowed in the second half of 2018.

The First Quarter 2019 issue of the Mexico Consensus Economic Forecast (Volume 22, Number 1) can now be downloaded for free from UTEP’s Digital Commons website. This report's consensus GDP growth forecast was revised down to 1.6 percent growth in 2019; exports and imports are both projected to weaken in 2019. The May issue of the Borderplex Business Barometer (Volume 3, Number 5) is also available for free from UTEP’s Digital Commons website. The report summarizes recent economic trends in El Paso, Las Cruces, and Ciudad Juárez.

Concerned about tariffs on Mexican fruits and vegetables? The U.S. Department of Commerce announce the termination of the 2013 Suspension Agreement on Fresh Tomatoes from Mexico on May 7, 2019. The Commerce Department restarted an investigation into alleged dumping of Mexican tomatoes at artificially low prices on the U.S. market. The Commerce Department also set a new 17.56% import duty on all Mexican tomatoes, which are the top Mexican agricultural export to the U.S. In addition, the Peterson Institute for International Economics weighed in on the consumer effects of tariffs on fruits and vegetables.

Did you know? The U.S. Supreme Court decided that tomatoes are legally vegetables in Nix v. Hedden (1893), despite hearing scientific evidence that tomatoes are technically fruits.

Mexico in the News