Activity 15
Nombres:
Ari Castelo Ramos 2934824
Luigi Castelo Torres 3094263
Liz Daniela Franco Beltran 2961553
Miguel Angel Murillo Lugo 2914895
Aylin Parra Rivas 2968914
Answer the following questions:
Create a comparative table showing the top 10 goods that Mexico has
imported and exported over the last five years.
Imports Exports
1 Cars 1 Cars
2 Electronic components and 2 Computers
circuits
3 Refined petroleum 3 Crude petroleum
4 Integrated circuits 4 Motor vehicles; parts and
accessories
5 Broadcoasting equipment 5 Delivery trucks
With the information from the table, provide a brief analysis of the nature of
Mexico’s foreign trade. Discuss whether it is more aligned with the primary
or secondary sector and consider the implications for the country's future
development.
Analysis:
Looking at the top imports and exports, it's evident that Mexico's foreign trade is
heavily aligned with the secondary sector. The presence of manufactured goods
like cars, computers, and electronics dominates both sides of the table. This
indicates a strong focus on assembly and manufacturing industries within the
country.
Exports: Cars, computers, and petroleum products consistently rank high,
highlighting Mexico's role as a manufacturing hub and a major oil producer.
Imports: Electronic components, refined petroleum, and broadcasting
equipment point towards Mexico's reliance on imported materials and
technology for its manufacturing activities.
This dependence on the secondary sector has implications for the country's future
development:
Positives:
o Generates employment and economic growth.
o Attracts foreign investment.
o Increases technological know-how.
Negatives:
o Vulnerability to fluctuations in global demand.
o Limited value addition compared to higher-level manufacturing.
o Potential environmental impact.
List the current trade agreements Mexico is a part of. Rank them in order of
the economic activity volume they represent, from highest to lowest.
Trade Agreements:
Highest Activity Volume:
USMCA (United States-Mexico-Canada Agreement)
EU-Mexico Free Trade Agreement
Asia-Pacific Economic Cooperation (APEC)
Lower Activity Volume:
Comprehensive and Progressive Agreement for Trans-Pacific Partnership
(CPTPP)
Latin American Integration Association (ALADI)
Suggest strategies to strengthen these agreements or to initiate new ones
with other countries.
USMCA: Modernize rules of origin to promote regional content within the
agreement.
EU-Mexico: Deepen cooperation in areas like digital trade and green technologies.
Diversification: Explore new trade partnerships with emerging economies in Asia
and Africa.
Focus on Value Addition: Encourage domestic production of higher-value goods
and technology within existing agreements.
Find two recent news articles (no more than a year old) about Mexico's
foreign trade, one portraying it positively and the other negatively. Based on
these, write a reflection on the current state of Mexico's foreign trade.
Finding positive and negative news articles paints a more nuanced picture of
Mexico's foreign trade situation:
Positive: Articles highlighting strong export performance and its impact on
economic growth indicate a positive aspect of the current trade landscape.
Negative: Articles focusing on a widening trade deficit due to outpacing imports
raise concerns about the country's reliance on external sources.
This highlights the need for a balanced approach to foreign trade.
As your conclusion, reflect on potential areas for improvement and propose
strategies to strengthen the development of Mexico’s foreign trade in the
medium term.
While Mexico's focus on the secondary sector has brought economic benefits,
long-term development requires further advancements:
Diversifying the export base: Moving towards higher-value products and
technology will reduce vulnerability to external factors.
Strengthening existing trade agreements: Deepening cooperation and exploring
new opportunities within current partnerships can leverage existing relationships.
Investing in domestic innovation: Fostering research and development will create a
more robust and competitive manufacturing sector.
By implementing these strategies, Mexico can transition its foreign trade towards a
more sustainable and prosperous future.
