Minnesota exports rebounded above pre-pandemic levels this spring

Minnesota exports rose sharply in the second quarter, rebounding from the deep disruptions experienced last year to rise above pre-pandemic levels.

The state's exports of agricultural, mining and manufactured products jumped 29% in the quarter compared to the prior year. That was an increase of $1.3 billion to reach $6 billion, according to a report released by the Minnesota Department of Employment and Economic Development (DEED).

The growth was lower than that of the U.S. as a whole, which saw exports spike by 51% in the quarter.

But state exports were up 5% over the second quarter of 2019, reflecting growth from pre-pandemic levels.

"After months of disruptions and global uncertainty, we are thrilled to see the strong rebound in Minnesota exports," said Gabrielle Gerbaud, executive director of the Minnesota Trade Office, in a statement.

She added that the trade office expanded its network of foreign offices during the pandemic from six to 13, including new ones in Africa and South America.

The state's exports to its top three markets saw sizeable growth in the second quarter, rising 59% to Canada, 14% to China and 86% to Mexico. Other markets that also saw big increases include Indonesia, which was up 100%, Czech Republic, up 176%, Costa Rica, up 67%, and Philippines, up 43%.

Six of the state's top 10 export products — machinery, electrical equipment, mineral fuels/oils, food by-products, meat and oil seeds/miscellaneous grains — grew above their 2019 levels.

"Exports are trending in the right direction, showing the resiliency of Minnesota businesses," DEED Commissioner Steve Grove said in a statement.

The period capture in this report, however, does not reflect July and August, in which the delta variant and the surge in COVID-19 cases dampened some economic activity.