El Paso Economic Indicators

Employment in El Paso grew slightly in March, and the unemployment rate ticked up. Single-family housing permits fell. Trade volumes jumped in February.

Labor market

Employment increases moderately

El Paso employment increased an annualized 0.9 percent (800 jobs) from December through March (Chart 1). Trade, transportation and utilities experienced the largest gains (700 jobs), followed by leisure and hospitality (650 jobs). Professional and business services experienced the largest decline (-700 jobs), followed by information (-150 jobs). Year over year, payroll employment in El Paso grew 0.7 percent.

Unemployment rate ticks up

El Paso’s unemployment rate increased slightly to 4.2 percent in March (Chart 2). El Paso’s jobless rate now matches that of the nation but is slightly above the state’s rate of 4.1 percent.

Housing

Single-family housing permits in El Paso fell in March (Chart 3). The three-month moving average of single-family permits fell 3.8 percent, less than the state’s 7.1 percent decline over the same time period. Year over year, permits were down 2 percent in El Paso and 4.7 percent for the state. While permits for the state are on par with prepandemic levels, the number of permits in El Paso remains below the level for that period.

Trade

El Paso’s economy is highly dependent on international trade. Total smoothed trade volumes through El Paso grew to $161.3 billion in February, representing a 4.9 percent increase from January and a 21.3 percent increase compared with February 2024 (Chart 4). Imports rose notably, up 6.6 percent in February, and exports rose a more modest 2.1 percent. Contacts note that the pickup in trade activity at the beginning of the year could be a result of firms making purchases ahead of the tariffs.