Delta Economics expects October to be a fruitful month for retailers after reports of modest trading in September. Exports in tech-related sectors will see the biggest improvements. In October alone, sales of electrical machinery, equipment and parts will grow by 1.7% month-on-month. Exports in road vehicles will improve by 8.3% and mechanical appliances will see a rise of 9%. Sales in locomotives will see a 7% rise on the previous month.
Whilst the USA and Canada are by far the largest buyers of Mexican goods, those closer to home, Colombia and Brazil, are beginning to increase their dependence on these Mexican bellwether products. In terms of Mexico-Colombia trade this month: mechanical appliances will grow by 8.2%, electrical machinery by 11.1% and road vehicles by 12.2%. As for Brazil: exports in mechanical appliances will improve by 12.2% and road vehicles by 12.3%. In addition, Argentina will increase its purchases of road vehicles by 12.2% in October. All this in spite of the news this week that emerging markets are entering a period of slower growth: yet economies such as Mexico will be relatively sheltered by the volatility in commodity prices because of sound economic fundamentals. For more information, visit Delta Economics.
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