NAFTA trade growth hits fourth straight month in February

Total cross-border trade between the United States, Mexico and Canada grew 2.9 percent in February 2017, the fourth straight month of year-over-year increases, according to the Department of Transportation’s Bureau of Transportation Statistics.    The total value of cross-border trade between the United States and its partners in the North American Free Trade Agreement (NAFTA), which include Canada and Mexico, in February 2017 grew 2.9 percent to $86.5 billion compared with the same 2016 period, according to the U.S. Department of Transportation’s Bureau of Transportation Statistics (BTS).
   BTS noted total NAFTA freight values have now grown in four consecutive months and five of the last seven months when compared with the prior-year period. The 6.7 percent increase seen in January was also the largest year-over-year increase since September 2014.
   For the full year in 2016, however, NAFTA freight flows fell 3.4 percent from 2015 to $1.069 trillion in current dollars, according to BTS figures.
   Three of the five major transportation modes measured by BTS moved more freight by value in February, with pipeline trade jumping 65.2 percent, marine vessel up 36.9 percent, and rail up 7 percent.
   The value of cargo moving by the other two modes dropped, however, with commodities moving by air slipping 1.6 percent, and truck falling 3.6 percent from the previous year.
   BTS attributed the substantial increase in pipeline and vessel trade values to a 76 percent year-over-year increase in the price of crude oil.
   Trucks continued to be the most heavily utilized mode for moving goods to and from both Canada and Mexico, accounting for 59.7 percent ($28.1 billion) of the $47.2 billion in U.S. imports from Canada and Mexico during the month and 67.4 percent ($26.5 billion) of the $39.3 billion in exports, the bureau said.
   Rail remained the second largest mode by value, moving 16.2 percent of all U.S.-NAFTA freight, followed by pipeline (6.5 percent), vessel (5.7 percent), and air (3.7 percent).
   Year-over-year, the value of U.S.-Canada freight flows rose 4.2 percent to $44.4 billion in February, while U.S.-Mexico trade values increased 1.5 percent to $42.1 billion.