BTS Releases North American Surface Trade Numbers for July;
July 2012 Surface Trade with Canada and Mexico Rose 4.6 Percent
From July 2011
Trade using surface transportation between the United States and its North American Free Trade Agreement (NAFTA) partners, Canada and Mexico, was 4.6 percent higher in July 2012 than in July 2011, totaling $75.7 billion, unadjusted for inflation (Table 1), according to the Bureau of Transportation Statistics (BTS) of the U.S. Department of Transportation.
BTS, a part of the Research and Innovative Technology Administration, reported that the 4.6 percent annual increase is the lowest year-to-year rise since increases resumed in December 2009 following the recession. The lower growth rate reflects the reduced cost of oil and gas, the largest commodity traded by value. Adjusted for inflation and exchange rates, the July 2012 total was $56.0 billion in 2004 dollars, up 8.8 percent from July 2011.
The July 2012 value of U.S. surface transportation trade with Canada and Mexico rose 5.7 percent from July 2008 during the last recession (Table 3). Data in the press release are not adjusted for inflation, except for monthly totals in Figure 1.
The value of U.S. surface transportation trade with Canada and Mexico in July increased by 82.8 percent compared to July 2002, a period of 10 years. Imports in July were up 66.7 percent since July 2002, while exports were up 105.1 percent (Table 3). See Transborder Press Releases for historical data.
Surface transportation includes freight movements by truck, rail, pipeline, mail, Foreign Trade Zones, and other modes of transport. In July, 86.3 percent of U.S. trade by value with Canada and Mexico moved via land, 10.0 percent moved by vessel, and 3.7 percent moved by air.
The value of U.S. surface transportation trade with Canada and Mexico decreased 8.4 percent in July 2012 from June 2012 (Table 2). Month-to-month changes can be affected by seasonal variations and other factors.
U.S. trade by surface transportation with Mexico has increased at a faster pace than trade with Canada. U.S.-Canada and U.S.-Mexico surface transportation trade in July 2012 both increased compared to July 2011 with U.S.-Canada trade reaching $42.9 billion, a 1.0 percent increase, and U.S.-Mexico trade reaching $32.7 billion, a 9.7 percent increase. For trade statistics by mode, see Table 4 for Canada and Table 6 for Mexico.
In July, Illinois led all states in surface trade with Canada, at $4.9 billion, a 9.3 percent increase from July 2011 (Table 5). This is the first time that Illinois has surpassed Michigan in surface trade with Canada since October 2009. Many automotive plants in Michigan retool their production facilities in July for the upcoming model year, which reduces Michigan trade with Canada, as much of that trade is in automobiles and auto parts.
The top commodity category transported between the U.S. and Canada by surface modes of transportation in July was oil and gas, valued at $7.9 billion (Table 8). Oil and gas displaced vehicles as the top commodity in July, due to auto plant retooling in July.
Texas continued to lead all states in surface trade with Mexico at $11.9 billion, an 11.8 percent increase from July 2011. Of the top 10 states by value, Tennessee had the biggest percentage increase, 31.7 percent (Table 7). The top commodity category transported between the U.S. and Mexico by surface modes of transportation in July was electrical machinery with $6.7 billion in trade (Table 9).
Technical Note: The BLS indexes used for Figure 1 adjustment may be revised in each of the three months after original publication. For example, index values released in January 2012 will be subject to revision in February, March and April of that year.
For more information, see Transborder Press Releases for previous’ press releases and summary tables. See TransBorder Freight Data for data from previous months, and individual state data. BTS has scheduled the release of August TransBorder numbers for Oct. 30.