Mexican officials are exploring whether increasing energy purchases from the US could help reduce the nearly $200bn goods trade deficit with the United States, a key concern amid Trump’s renewed tariff threats. The US currently holds a $25bn energy trade surplus with Mexico, making it a potential lever in negotiations. Mexican economists note that while buying more US energy could narrow the deficit, they face headwinds from rising exports of AI servers for data centres, which are shifting trade dynamics.
The idea emerged after reports that Trump and Mexico’s President Claudia Sheinbaum discussed energy as a possible area of cooperation. Trump’s recent energy-focused policies — including a diesel import deal with Russia and claims of an energy ceasefire in Ukraine — have been criticised as distractions from his own Iran-related policies driving global energy volatility. Critics argue these moves do little to ease prices and risk isolating the US internationally.
For Mexico, boosting US energy imports offers a pragmatic path to appease Trump’s demand for reduced trade imbalances, even as broader economic shifts complicate the effort. The strategy hinges on leveraging America’s energy strength to gain traction in wider trade talks, though success depends on navigating both domestic political resistance and global market realities.
Source: Financial Times Companies · Summarized by HeadlinesBriefing