LATIN EXPORTS TO U.S. ARE FALLING - THE BIG QUESTION IS WHY
New U.S. government trade statistics are setting off alarm bells among international traders in this corner of the world: Latin American exports to the United States are showing no growth -- and in many countries they are falling sharply -- amid a worldwide increase in exports to the U.S. market. Read the entire column here, get more figures in the comments section, and let us know whether you agree.
posted by Andres Oppenheimer at 11:54 AM
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Hare are the total preliminary figures for U.S.-Latin American trade Jan.-July, 2007, given to me on Froday by the U.S. Department of Commerce:
U.S. merchandise exports to Latin America/Caribbean (Jan-July 2007): $136,317 million or $136.3 billion;
U.S. merchandise imports from Latin America/Caribbean (Jan-July 2007): $192,014 million or $192.0 billion
U.S. merchandise exports to Latin America/Caribbean (Jan-July 2006): $125,927 million or $125.9 billion
U.S. merchandise imports from Latin America/Caribbean (Jan-July 2006): $192,333 million or $192.3 billion
Increase in exports 8.25%
Decrease in imports -0.17%
______________________________________________________________________
U.S. merchandise exports to Latin America/Caribbean (excluding Mexico) (Jan-July 2007): $58,096 million or $58.1 billion
U.S. merchandise imports from Latin America/Caribbean (excluding Mexico)(Jan-July 2007): $74,328 million or $74.3 billion
U.S. merchandise exports to Latin America/Caribbean (excluding Mexico)(Jan-July 2006): $48,940 million or $48.9 billion
U.S. merchandise imports from Latin America/Caribbean (excluding Mexico)(Jan-July 2006): $78,850 million or $78.9 billion
Increase in exports 18.71%
Decrease in imports -5.73%
from: Paul Thørsen
PThorsen240@aol.com
Why would such figures be "alarming"? I thought åndêrš is an American citizen. Why would he care where the USA gets our imports from? I could care less where our cheap imports come from, as long as they are cheap.
from: Paul Thørsen
PThorsen240@aol.com
åndêrš, "neglect of the region"?! If the USA dares to interact with Latin America, we get accused of "interference" in their affairs and Hispanicks demand we make Spanish our official language as compensation for us "interfering ". But if we then ignore them, as we should, we then get accused of "ignoring" Latin America, with Hispanicks again demanding we make Spanish the official language of the USA as compensation for "ignoring" them.
It is impressive how "Paul Thorsen" manages to post the same irrational shit every day on every article of Andres O. This has been hapening for over a year now. He's posts are sometimes misspelled and others have ignorant mistakes or attitudes like this last post were it almost seems he doesn't understand what we are talking about and he shows no intention of analyzing any idea, but still he makes absolute affirmations.
Im just speculating, but the ones who read this blog frequently, might agree with me that "Paul thorsen" seems like the nikname used by some extremist group who finds useful this "ideas" being publicated, so they seem like a real opinion of some racist o crazy americans.
It might even be some one related to this blog, its funny that "Paul" just felt inlove with these blog.
It just seems unreal that "paul thorsen" could be a real person with no interests compromised.
While I do agree that it is in the USA's national interest for South and Central America to improve economically, it is something they have to do on their own. Our help should be limited to reducing barriers to their imports as much as possible. Ultimately however, their products will need to be competitive with those of the rest of the world and that will only happen within an entrepreneurial, capitalist economic structure and - not - a populist, socialist, nationalist one.
What we should not do is interfere or subsidize them at the taxpayer's expense.
First let me say that I not a proponent of NAFTA or of free trade agreements. In my opinion, free trade pacts due more harm than good, especially for the lowest third of any nation. However, US and Mexican leadership has committed our nations to a free trade economic agenda. In the US, this leadership includes both political parties: Bush the first began negotiations, Clinton passed NAFTA, and Bush the second has further tied us to this scheme. In Mexico it was the technocratic wing of the PRI that introduced NAFTA and now the PAN has the upper hand and they have certainly based their political future on free trade policies. Consequently, the health of each economy depends a great deal on the other. We need Mexicans to buy US products and visa versa.
I would be in favor of terminating our free trade pacts, but this is highly unlikely. So until we do, we need to help the Mexican economy maintain itself so that our economy here in the United States does not suffer.
JA
Well this goes for Andres and for his penpal Paul Thorsen. The fact that the imports to the USA from Latin America dropped, it doesn't mean that Latin American exports numbers are dropping. I believe Latin America finally are expanding their horizons and placing in other markets their merchandise. If you look at the numbers reported by Andres, Mercosur's numbers are not bad. Why? because they are a commercial block. Can you imagine if the rest of LA joins Mercosur?
Then.. who cares about the free trade agreement. We don't need it. We are in control of our goods and not at the mercy of the tyrants buyers.
Paul said he doesn't care where the goods are coming from as long as they are cheap. Do you know the price you are paying at the end for cheap goods Paul? The jobs that they were outsource from the USA to other countries. The american companies moved their operations to "cheap" countries in order to bring the american goods back in the USA for a "cheap" price. Who lost all these jobs and stop paying taxes? The American people, Paul. Think.. There is always action and consequence. Regards, Susana
from: Paul Thørsen
PThorsen240@aol.com
jaime, that's crazy. Do you really think the USA depends on a strong Mexico economy to survive?! It's the other way around. get real.
if the USA created free trade agreements with Thailand, for example, then the Thai people will buy those USA products instead of Mexicans. No net gain or loss for the USA.
I'll ignore the frustrating comments by morons. The point of this article is that the benefits of trade with the US are being drawn away from Latin America towards China. If Latin American countries do not compete for businesses and trade, they will be eclipsed by growing countries like China and they will suffer from the loss of trade and the growth it brings.
Andres O,
I don't understan how is it that the peruvian exports are growing so fast, as the entire peruvian economy is, and on the other side our exports to the US dropped.
Last week I heard Europe just becamen our most important commercial partner.
Could it be that our exports are heading to economies that are growing faster than the american?
It would be cool if you could specify.
I believe that Europe, with a stronger Euro is a far more attractive market for Latin America exports.
The stronger Euro gives more buying power to european companies than to american companies.
The cost of actually shipping the product to Europe rather than the US is right now the main point for the economies in the area. However, if exports to Europe were to increase the cost of shipping will decrease as more merchant will be sending their goods via air or ship.
from: Paul Thørsen
PThorsen240@aol.com
Hey anonymous, you seem to have grasped it perfectly. Latin America must COMPETE with others to gain market share in the USA. It CANNOT be legislated by USA politicans in exchange for the Hispanick vote. You got to let nature run it's course without being corrupted by affrirmative action laws and trade theaties.
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http://es.geocities.com/pymeuruguay
China?
Look everybody, the point is not that one country or group of people is bad or not (that goes for both latin america and the united states), the point is the economics and numbers involved; the reality of participating in a competitive world.
There's no need to bash latin-ameican economies or the american economies. The point here is one aspect of a growing china and increased outsourcing to the leading low-wage trade partner, which displaces some trade with latin america.
Mexico has faced less problems because of its unique proximity to the US, access by road, NAFTA, reduced transportation and shipping costs, reduced time delays...
But they still have lost a lot of trade due to china and so has much of latin america, now days they need REFORM and improved business and trade environments, since none of them can compete on wages alone with China.
Now please, stop bashing latin america or the us and make an intelligent point on this article, at least he has people thinking and debating on an important issue...
Mr. Oppenheimer:
I could address to you in Spanish, but I prefer to extend my comments to English readers as well.
I just finished reading your best seller, "Cuentos Chinos". MAGNIFICENT. It is written with great simplicity which makes it very appealing to read without stopping on possible incongruencies.
All the analyses you describe are justified, but you have not included the main cataclysm coming over Latin America; DEMOGRAPHIC EXPLOSION.
Latin America is largely populated by indian nations which have resulted in a backward breed of ignorant people, (excluding those that really try to advance in their education). I can experience this reality here in Bolivia, where I retired after 25 years studying and working in California. This phenomena is causing the overpopulation of ignorant, poor, needy people attatched to their ancient traditions to procreate and explode like mice.
Besides big corruption in our nations, governments do not have the resources to allocate funding for schools, hospitals, housing and work for these masses of displaced individuals. Therefore, crime rate climes, and produces a friction between social classes.
This is just a resume of the BIG problem on overpopulation. Leaders of the world do NOT address this issue. Look at Africa in general, and you have there an idea of what really is going on.
With great respect,
Lic. Gonzalo Villamil Patiño
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