Unlocking Economic Potential: U.S. Latino Immigrants Contribute $1.6 Trillion to GDP and Drive Growth in Key Industries

U.S. Latino Immigrants Drive $1.6 Trillion in GDP, Report Reveals

In a study by the Latino Donor Collaborative, U.S. Latino immigrants produced a GDP of $1.6 trillion in 2023. The analysis shows Latino immigrants boost the U.S. economy.

Key Economic Contributions and Growth

Latino GDP grew by 50% from 2015 to 2023. Non-Latino GDP grew by 17% during the same years. Rising education, more business start-ups, and increased work ties help this rise.

Latino purchasing power climbed to $4.1 trillion.
California led with $989 billion in Latino GDP in 2023. The state is set to pass $1 trillion by 2025.
Texas, Florida, and New York also added many billions of dollars in Latino GDP.

The Rising Power of Latino Consumers

As baby boomers spend 4% less each year, Latino households fill the gap. Their spending grows over 3% each year. This rate nearly doubles that of non-Latino households. Economists see Latino buyers as a strong force in U.S. growth. Many companies now design plans to reach them.

Companies Benefiting from Latino Market Focus

Several major brands have grown by connecting with Latino consumers:

Modelo became America’s top-selling beer in 2023 by capturing 50% of the Latino market before Michelob Ultra took the top spot.
T-Mobile grew more than AT&T and Verizon by reaching more Latino customers.
Dr. Pepper doubled its share of Latino buyers in ten years and now follows Coca-Cola while staying ahead of Pepsi.
The WNBA earned its highest growth in Latino viewership among professional sports.
Kia jumped from 11th to 6th in new car sales as Hispanic market purchases increased by 44.5% in five years.

Economic Risks of Mass Deportations

Some experts warn that plans to remove undocumented immigrants may slow this growth. Dennis Hoffman, an economics professor at Arizona State University and lead author of the report, sees a risk in deporting up to 8.3 million undocumented workers. He links this move to risks for over 19.5 million jobs because of the drop in overall economic work. Hoffman explains that such removals may cut U.S. GDP by $2.3 trillion—a fall of 7.7%. This drop would put at risk many businesses and communities that depend on Latino work. He calls for system changes that mix firm rules with safe paths for work. He states, “Our system is fixable. We can support workers and avoid the heavy cost of mass removals.”

Conclusion

Latino immigrants fill a strong role in the U.S. economy by adding trillions to GDP and shaping how people buy goods. Businesses and policy makers must see the power of Latino communities. Their influence helps keep the country growing and paves the way for a sound future.

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