U.S. trade flows are shifting away from a West Coast-centric, China-driven model toward a more distributed network that increasingly favors Gulf Coast, East Coast and U.S.–Mexico border gateways, according to a May 2026 report from New York Life Investment Management. The report says Mexico has emerged as the largest source of U.S. imports, while imports from China have declined amid rising tariffs, supply-chain diversification and nearshoring activity.
These changes are reshaping industrial real estate demand. Houston, Savannah, Ga., and other Gulf and East Coast ports have captured stronger import growth, while Laredo, Texas, and other U.S.–Mexico land ports are benefiting from increased cross-border trade. The report says industrial markets tied to these shifting trade lanes — including Chicago, Laredo, Dallas-Fort Worth, Norfolk, Va., and Savannah, Ga. — are seeing stronger rent growth, while several West Coast markets tied more closely to China trade have exper
