WorldCity, Latin America plays growing role in South Florida trade, helping fuel a $2.2 billion surplus | Connecting Local Business Leaders To The Global Economy

Latin America plays growing role in South Florida trade, helping fuel a $2.2 billion surplus

March 15th, 2006

Geographic proximity remains a key component of Miami’s flourishing trade scene, as even more Latin American and Caribbean countries move into the list of South Florida’s top trading partners.

Among the Miami Custom District’s top 100 trade partners last year, 42 of them were from the Americas, led by Brazil. South Florida and Brazil exchanged nearly $9 billion in goods in 2005 as Miami made its way to a record-setting $65.9 billion in trade.

Latin America has always been a key source of air and sea cargo arriving in the Miami Customs District, as well as an important destination for exports. In addition, the area is a transshipment point. Mexico, for example, sends a significant volume of Caribbean-destined cargo through Miami because there are not sufficient direct trade lanes from Mexican ports.

Top Exports, 2005

Rank		2005	2004	Change
	Total all commodities	$34,078,228,489	$30,068,028,161	13.30%
1	Computers	$2,243,810,374	$1,681,785,470	33.40%
2	Computer parts	$2,102,688,193	$1,794,150,800	17.20%
3	Transmission apparatus for cellular phones	$1,669,917,415	$1,513,065,895	10.40%
4	Electronic integrated circuits	$1,487,954,050	$1,290,920,604	15.30%
5	Regional jet parts	$1,325,039,701	$1,273,752,780	4.00%
6	Aircraft parts	$1,128,113,698	$987,461,680	14.20%
7	Electric equipment for line telephony	$756,081,810	$681,132,553	11.00%
8	Motor vehicles for transporting people	$687,521,032	$453,414,844	51.60%
9	Medicine	$652,014,173	$737,247,973	-11.60%
10	Medical instruments for surgeons, dentists, vets	$617,697,094	$467,572,287	32.10%
11	Machinery parts	$613,833,083	$620,497,745	-1.10%
12	Motor vehicle parts	$415,108,023	$328,101,969	26.50%
13	Miscellaneous knitted or crocheted fabrics	$375,977,357	$279,787,462	34.40%
14	Cotton, 85% cotton	$325,654,619	$309,702,584	5.20%
15	Aircraft	$297,716,683	$249,593,349	19.30%
16	Yachts and other boats	$287,695,587	$280,548,347	2.50%
17	Jewelry, parts	$279,381,108	$241,434,786	15.70%
18	Parts for cellular communications	$259,297,929	$315,020,043	-17.70%
19	Self-propelled heavy construction machinery	$246,932,629	$135,181,151	82.70%
20	Engine parts	$240,390,367	$222,906,732	7.80%

The U.S. government tracks cargo at the Customs district where it enters or leaves, regardless of its final destination in the United States. In many U.S. Customs Districts, the cargo is handled by rail, truck, ocean-going containers and plane shipments. In South Florida, however, there is little international trade that is handled overland by rail or truck.

And while the Miami Customs District is made up of airports and seaports in a swath running from Fort Pierce south to Key West, the Miami and Fort Lauderdale ports and seaports handle the bulk of the shipments.

Florida’s other Customs district, Tampa, saw $29.3 billion in trade last year, a jump of more than 30 percent, but registered a $9.3 billion deficit in the exchange.

South Florida’s record trade in 2005-~~the first time the Miami Customs District crossed the $60 billion mark~~-represented a 12 percent improvement from 2004, according to WorldCity analysis of U.S. Census Bureau trade data. The $2.2 billion surplus that came with that trade was fueled in great part by commerce with Latin America, particularly Venezuela.

Both exports and imports rose in 2005. Exports, up 13.3 percent from a year earlier, were led by a nearly 32 percent hike in shipments to Venezuela, including construction equipment and machinery. Imports from Venezuela-~~principally gasoline and jet fuel imported through Port Everglades in Fort Lauderdale~~-also increased, as measured in value, to turn Venezuela into the No. 2 trade partner for South Florida.

Although Latin America and the Caribbean remain crucial to Miami’s trade success, China made important inroads in 2005. South Florida imports from the Asian powerhouse rose 31 percent, hitting $3.1 billion and putting China just behind Brazil when it came to shipments to the U.S. Customs district.

Brazil sent $3.4 billion in goods to South Florida last year.

While Miami and Brazil have a relatively balanced commercial exchange, the China relationship is a lopsided one. Miami exported only $179 million in goods to China.

Top Imports, 2005

Rank		2005	2004	Change
	Total all commodities	$31,827,243,451	$28,814,395,097	10.50%
1	Oil, not crude	$3,223,747,964	$1,566,364,276	105.80%
2	Aircraft	$1,760,065,272	$2,412,885,398	-27.10%
3	Sweaters, pullovers, vest, knit or crocheted	$1,308,645,374	$1,189,633,139	10.00%
4	Imports of returned exports	$1,258,433,489	$1,056,704,225	19.10%
5	Men's or boys' suits, not knit	$1,246,457,090	$1,306,479,204	-4.60%
6	T-shirts, tank tops, knit or crocheted	$1,174,713,827	$1,040,313,186	12.90%
7	Transmission apparatus for cellular phones	$1,000,167,743	$773,656,498	29.30%
8	Computers	$680,562,143	$542,500,761	25.40%
9	Women's or girls' suits, not knit	$645,727,589	$817,577,253	-21.00%
10	Fish fillets, chilled or frozen	$628,524,482	$544,222,649	15.50%
11	Medical instruments for surgeons, dentists, vets	$612,520,895	$554,661,872	10.40%
12	Fresh-cut flowers	$572,299,102	$576,986,970	-0.80%
13	Jewelry, parts	$565,005,319	$419,710,025	34.60%
14	Computer parts	$490,477,483	$486,660,393	0.80%
15	Gold	$443,834,823	$636,857,455	-30.30%
16	Yachts and other boats	$443,441,331	$413,828,458	7.20%
17	Live crustaceans	$393,503,146	$422,338,614	-6.80%
18	Men's or boys' underwear	$382,872,375	$369,989,401	3.50%
19	Furniture, parts	$359,794,342	$311,690,361	15.40%
20	Perfumes	$345,730,805	$308,600,065	12.00%