Mexico Skirts Recession in First Quarter Despite Trump Uncertainty
- Mexico's economy grew 0.8% annually and 0.2% quarter-over-quarter in Q1 2025, avoiding a technical recession despite prior contraction.
- The growth came after the economy shrank by 0.6% in the final months of 2024 and took place amid ongoing tariff threats and trade-related uncertainties posed by the U.S. Administration.
- Agriculture led Q1 growth with a 7.2% annual and 8.1% quarterly increase, while industry declined 0.7% annually, reflecting structural challenges.
- In the first quarter of 2025, inflows of foreign capital hit a new high of $21.4 billion, increasing by 5.4% compared to 2024 despite ongoing trade disputes, while inflation rose to 4.22%, exceeding the central bank’s target.
- Analysts warn that the ongoing industrial decline and trade conflicts could lead to a 0.3% contraction in 2025 despite government growth projections.
16 Articles
16 Articles
Agricultural Surge Saves Mexico from Technical Recession Despite Factory Decline in Q1 2025
Mexico’s National Institute of Statistics and Geography released revised data showing the economy grew 0.8% annually in the first quarter of 2025. The country narrowly avoided a technical recession after expanding 0.2% quarter-over-quarter, following a 0.6% contraction in late 2024. Agriculture drove the unexpected growth with a remarkable 7.2% annual increase and 8.1% quarterly surge. […]
Mexico City, 22 May (EFE).- The National Institute of Statistics and Geography (Inegi) of Mexico maintained on Thursday at 0.2% the definitive growth of GDP in the first quarter of 2025, same estimate that it made preliminary in April. The increase, above the expectations of the market, occurred thanks to the quarterly advance of the agricultural sector (7.8%), although with the decline in services (0.1%) and industry (0.1%), the Inegi detailed …
During the first quarter, the Mexican economy grew by 0.2%, and 0.6% at annual rate, according to Inegi's data.
The ‘pance’ was confirmed: Mexico’s economy grew 0.2 percent in the first quarter of 2025, thus avoiding the so-called ‘technical recession’, reported the National Institute of Statistics and Geography (Inegi) on Thursday, May 22. The 0.2 percent figure is the same as the timely estimate published a month ago, although the Institute did make some adjustments: The growth of primary activities (related to the field) was adjusted from 8.1 to 7.9 pe…
The first quarter of the year was a faithful reflection of the policy of openness. The official remedy for inflation pushes the chasm to domestic production By Mara Pedrazzoli Imports measured in quantities increased in the first quarter of the year by 44.8 percent, while exports rose 6.6 percent. The trade balance is ... The advance of the importing wave Read more »
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