By Daniel Nardini
The United States and Canada are now in some trade war. What will happen in this respect remains to be seen. What is not being mentioned is that trade and trade networks between the United States and Mexico have been growing in leaps and bounds. This trade has hit an all time high of $976 billion—-making Mexico the single largest trading partner with the United States. Despite U.S. President Donald Trump’s vilifying Mexico, trade with Mexico has dramatically increased between the two countries since Trump took office back in January of 2025. If this sounds ironic, it is. The only answer I can give is that it is cheaper for products made in Mexico to be in the U.S. market regardless of Trump’s tariffs. For over a year, I have seen a dramatic increase in products from Mexico to the point where they are beginning to displace products made in China.
Just as equally important is the explosive growth of trade between the United States and the countries in Central America. Even with Nicaragua, trade with the United States has increased. At present, trade between the United States and all of Central America has amounted to $86 billion. Products like clothes, utensils, and furniture can be found in many stores in the United States. Food like bananas and even cocoa are coming from Central America. American corporate business investments have increased in Central America, and what this means is that the peoples in Central America as well as the United States are in a win-win situation where trade helps all countries involved. Like with Mexico, it is cheaper to produce goods in Central America than in countries with the European Union or even many countries in East Asia.
Additionally, trade between the United States and countries in South America is also growing. American trade with Colombia, Ecuador and Peru has grown substantially. Interestingly enough, tourism from the United states has grown in leaps and bounds. Here is what is happening. Despite what seems to be a hostile relationship between the United States and the rest of the Americas, all of the countries in the Americas are in fact becoming more inter-dependent than ever before. No one leader, including Trump, can stop how integration is becoming a force where the Americas will become a trading bloc like the European Union. Maybe this trading bloc will include Canada (hopefully it will), but the real dynamic is now happening south of the United States border that should be talked about but sadly is not being discussed. Sometimes the things that change our world is not what we notice but is still making a major impact on our lives all the same.
U.S. Trade South of the Border
By Daniel Nardini
Just as equally important is the explosive growth of trade between the United States and the countries in Central America. Even with Nicaragua, trade with the United States has increased. At present, trade between the United States and all of Central America has amounted to $86 billion. Products like clothes, utensils, and furniture can be found in many stores in the United States. Food like bananas and even cocoa are coming from Central America. American corporate business investments have increased in Central America, and what this means is that the peoples in Central America as well as the United States are in a win-win situation where trade helps all countries involved. Like with Mexico, it is cheaper to produce goods in Central America than in countries with the European Union or even many countries in East Asia.
Additionally, trade between the United States and countries in South America is also growing. American trade with Colombia, Ecuador and Peru has grown substantially. Interestingly enough, tourism from the United states has grown in leaps and bounds. Here is what is happening. Despite what seems to be a hostile relationship between the United States and the rest of the Americas, all of the countries in the Americas are in fact becoming more inter-dependent than ever before. No one leader, including Trump, can stop how integration is becoming a force where the Americas will become a trading bloc like the European Union. Maybe this trading bloc will include Canada (hopefully it will), but the real dynamic is now happening south of the United States border that should be talked about but sadly is not being discussed. Sometimes the things that change our world is not what we notice but is still making a major impact on our lives all the same.