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14 Facts for Exporters about the State of Global Trade

June 3, 2024
Team - EXIM Forbes

1200 x 675 hubspot World Trade Month 2020 Wrap-Up

The global trade landscape continues to evolve. While a strong dollar and sluggish global growth presented challenges last year, American exports defied expectations, reaching a record high of $3.1 trillion. This resilience, coupled with a narrowing U.S. trade deficit, paints a picture of adaptation and a continued commitment to international commerce.

Geopolitical factors played a major role in the year’s trends, with Mexico surpassing China as the top source of U.S. imports for the first time in two decades. This shift underscores the ongoing diversification of supply chains and the importance of strong regional trade partnerships.

In honor of World Trade Month, we gathered 14 interesting facts about the state of international trade. They highlight the record-breaking figures and notable trends that are shaping the future of international trade. 

14 Facts about the State of Global Trade

1. The U.S. trade deficit narrowed by 17.8% in 2023, reaching $773.4 billion, the lowest level since 2017. This marks the first decline in four years.

2. Exports of goods and services were $3.1 trillion in 2023, up $35.0 billion from 2022, the highest on record. This modest growth is despite a strong dollar and sluggish global economy, indicating resilience in American exports.

3. Imports were $3.8 trillion in 2023, down 4.9%, partly due to Americans buying fewer goods from China.

4. Exports of services in 2023 increased $74.2 billion to $1.0 trillion, the highest on record.  

  • Travel increased $38.3 billion.
  • Financial services increased $7.4 billion.
  • Transport increased $7.3 billion.
  • Telecommunications, computer, and information services increased $7.1 billion.

5. Imports of services in 2023 increased $17.8 billion to  $714.5 billion, the highest on record.

  • Travel increased $34.5 billion.
  • Transport decreased $14.7 billion.

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6. The United States’ top exports by value in 2023, accounting for 23.47% of outbound trade:

  1. Oil ($117 billion)
  2. Civilian Aircraft Parts ($113 billion)
  3. Gasoline and Other Fuels ($113 billion)
  4. Liquified Natural Gas (LNG) and Other Petroleum Gases ($68 billion) 
  5. Passenger Vehicles ($63 billion)

7. The United States’ top imports by value in 2023, accounting for 22.28% of all inbound shipments:

  1. Passenger Vehicles ($208 billion)
  2. Oil ($165 billion)
  3. Cell Phones and Related Equipment ($117 billion)
  4. Computers ($103 billion) 
  5. Returned Exports, Without Charge ($93.5 billion)

8. The nation’s top trade partners in 2023, accounting for 48.9% of U.S. trade with the world: 

  1. Mexico
  2. Canada
  3. China
  4. Germany
  5. Japan

The previous year, the top five spots were held by Canada, Mexico, China, Japan and Germany, respectively. 

Download Whitepaper Now -> Evaluating Export Markets: How to Assess Country and Customer Risks” align=”middle”></a></span></span><!-- end HubSpot Call-to-Action Code --></p> <p>9. Mexico surpassed China as the top source of imports for the U.S. in 2023, the first time in 20 years, a shift attributed to several factors, including trade tensions between the U.S. and China, shifting supply chains, and lower costs and stable trade relations with Mexico.</p> <p>10. The U.S. trade deficit with China narrowed significantly in 2023, with imports from China dropping 20% to $427.2 billion. American consumers and businesses turned to Mexico, Europe, South Korea, India, Canada and Vietnam for auto parts, shoes, toys and raw materials. </p> <p>11. Mexican exports to the United States were roughly the same as in 2022, at $475.6 billion. Foreign direct investment in Mexico surged 21% in 2023, highlighting its attractiveness as an alternative production location. </p> <p>12. The U.S. had record exports to 41 countries in 2023, led by the Netherlands ($82.2 billion), Germany ($76.7 billion) and Belgium ($38.8 billion). </p> <p>13. The U.S. had record imports from 41 countries in 2023, led by Mexico ($475.6 billion), Germany ($159.7 billion) and South Korea ($116.2 billion).</p> <p>14. The value of digitally delivered services rose by 9% last year, a similar trajectory to other year-over-year increases since 2005, far outpacing the growth of physical goods trade and other services exports. Digital trade refers to international trade digitally ordered and/or digitally delivered.</p> <p><em>Sources: <a href=BEA, U.S. Census Bureau, WTO, USTradeNumbers, NYT/Census Bureau Data

World Trade Month has come to an end, but we hope these facts are a good reminder of the importance of international trade and its far-reaching impact on economies worldwide.

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