Economic snapshot | Trade and Globalization

Mexico trade deficit costs jobs in every state

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The U.S. trade deficit with Mexico displaced a total of 682,900 U.S. jobs as of 2010, affecting every state (as shown in the map below).  The United States had a trade surplus with Mexico in 1993 before the North American Free Trade Agreement took effect.  Since then, imports from Mexico have grown much faster than U.S. exports, resulting in large trade deficits.  Exports support domestic jobs and imports displace them, so large trade deficits have resulted in growing job displacement in the United States.  For a thorough analysis of the job displacement resulting from NAFTA and what it tells us about other potential trade agreements, read EPI’s Heading South: U.S.-Mexico trade and job displacement after NAFTA.


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