Once Thriving, Laredo’s Growth Stalls Under Trump’s Immigration Crackdown

{snip}

Some Laredo business owners suspect President Donald Trump’s immigration crackdown as a possible factor. In a border city like Laredo, where economic growth relies on cross-border traffic, tighter immigration policies can dramatically impact the viability of the community. New population estimates indicate just how drastically those policies have affected the once-boomtown of Laredo.

All across the country, a decline in international migration has led to a decline in population growth between 2024 and 2025, according to the U.S. Census Bureau’s population estimates released in March. No metro area in the U.S. has been hit harder than Laredo, where population growth came to a near halt after seeing one of its largest population jumps in two decades — down from 3.2% between July 2023 and July 2024 to just 0.2% between July 2024 and July 2025.

The Laredo metro area, which encompasses all of Webb County, is located along Texas’ southern border with Mexico and has a population of approximately 272,000 people. The city accounts for the majority of those residents with a population of about 261,000.

Laredo isn’t alone. Other border communities have experienced similar slowdowns due to a decline in international migration, which was likely an effect of the Trump administration’s crackdown on immigration and its mass deportation efforts.

{snip}

The Laredo metro area’s growth of just 0.2% was the slowest it had been since 2020-2021, when it grew by .02%, said George Hayward, a demographer with the U.S. Census Bureau.

Natural changes in population, such as births and deaths, remained stable for the area, as did domestic migration, defined as when people move to Laredo from other parts of the U.S.

{snip}

Laredo’s drop in growth is in sharp contrast from when it jumped the year prior. Between July 2023 and July 2024, the Laredo metro area saw one of its biggest jumps in growth in more than 20 years with a 3.2% population growth, largely driven by international migration.

It was the largest bump in international migration since at least 2000, Hayward said. That year, the area had a net gain of 8,592 international migrants. The next year, between 2024 and 2025, that number dropped to 260 people.

{snip}

Zooming out to look at the long-term trend, the jump between 2023 and 2024 was more of an anomaly.

{snip}

Researchers at the Kinder Institute for Urban Research observed a continuing decline in the top 15 metro areas through September 2025, said Kevin Thomas, co-director at the Kinder Institute.

{snip}

The Kinder Institute’s data, which still needs to be verified by Census data, notably focused on a time period that only spanned Trump’s current term in office while the Census estimates also included the final six months of the Biden administration. The data focused solely on months under Trump suggest that the decline is linked to the administration’s policies.

Whether local officials within the Laredo metro area should be concerned about the lack of growth in the most recent data depends on how they have prepared.

{snip}

Laredo’s location along the border has made international trade a staple of the metropolitan area, making trade tariffs an important issue for its economy. Today, Laredo is the No. 1 land port on the U.S.-Mexico border and the No. 3 port in the nation, handling $354 billion in total trade in 2025.

Revenue from property taxes also came in lower than expected. The city had budgeted for $121,365,233 in property tax revenue for 2024-2025 but experienced a slight shortfall of .22% in property tax revenue at $121,096,474. For the current fiscal year, the city is projecting $134,338,848 in property tax revenue, a $13.5 million increase that includes $4 million from new property.

This over-projection of revenue, if it were to continue, could spell trouble for the city.

{snip}