Minnesota exports hit $21.4B in 2014

Boom in orders from Mexico, Japan helped boost economy.

February 28, 2015 at 2:24PM
Iron workers set up a crane to move steel for the construction of buildings on the site of Essar Steel Minnesota's taconite mine project in Nashwauk, Minn.
Iron workers set up a crane to move steel for the construction of buildings on the site of Essar Steel Minnesota's taconite mine project in Nashwauk, Minn. (Star Tribune/The Minnesota Star Tribune)

Minnesota farms, factories and mines exported a record $21.4 billion worth of goods in 2014 amid a surge of orders from Mexico and Japan, state officials said Friday.

Total exports jumped 2.9 percent from 2013, with Canada remaining the state's largest trading partner with $5.6 billion in purchases.

Mexico leapt up the list, becoming the state's second-largest customer with $2.24 billion in orders. Mexican companies were particularly aggressive during the fourth quarter, buying $625 million worth of Minnesota goods, compared with $186 million for the same period one year ago.

Growth was so strong that Mexico surpassed China, which placed third on the list by buying $2.2 billion in goods last year.

The state's other critical trading partners included Japan ($1.2 billion), Belgium ($886 million), Germany ($749 million), South Korea ($712 million), Philippines ($571 million) and Singapore ($531 million).

Katie Clark Sieben, commissioner of the Minnesota Department of Employment and Economic Development, noted that the state's efforts to encourage small and medium-sized manufacturers to export appears to be paying off.

"More than 8,600 Minnesota companies are exporting, most of them small and medium-sized businesses," Sieben said.

The state's agricultural, mining and manufacturing sectors shipped 930 different types of products to 192 countries between Oct. 1 and Dec. 31. There was a higher demand globally for Minnesota-made optical and medical products, machinery, plastics and wood.

Economists and U.S. commerce officials long have praised exports for keeping Minnesota's economy afloat during the Great Recession and since.

The state opened numerous trade offices in Asia, Europe, South and Central America in an effort to beef up commerce and create new markets for Minnesota-made goods. Such efforts produced steady progress.

During the fourth quarter, the state saw notable increases for grains, seeds and cereals from Mexico, China, Israel, Indonesia and Algeria. Exported car parts, plastics and aircraft parts rose during the quarter while orders for machinery and food byproducts fell.

Dee DePass • 612-673-7725

about the writer

about the writer

Dee DePass

Reporter

Dee DePass is an award-winning business reporter covering Minnesota small businesses for the Minnesota Star Tribune. She previously covered commercial real estate, manufacturing, the economy, workplace issues and banking.

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