Mexico automotive industry newsMEXICO CITY—By attacking the North American Free of charge Trade Agreement, promising a U.S.-Mexico border wall and embracing protectionist policies, President Trump has managed to dent Mexico’s auto market more than the final year. The depth of the US-Mexico trade connection also increases the odds of our base situation. If the United States decides to leave the NAFTA agreement, the US government would experience robust opposition from each industry and person US states. The total annual sum of trade between the two economies grew from USD 81.five billion in 1993 to USD 557 billion in 2017. In 2017, Mexico was the location of ten.6% of total US exports, which represents 1.3% of the 2017 estimated GDP. Concerning total imports, ten.8% came from Mexico (1.six% of GDP). According to a study by Atlantic Council, a United States believe tank, the US states most integrated with Mexico are New Mexico, Arizona, Texas, and Michigan. Furthermore, it is estimated that 40% of the value of US imports from Mexico comes from supplies and components made in the United States. This implies that 40% of each dollar that the United States spends on Mexican goods in fact supports US firms.
United States President Donald Trump has raised concerns with regards to new investments in the Mexican automotive business. During his election campaign, President Trump threatened significant international automakers with a 35% import tariff if they continued to create vehicles in Mexico for sale to the US market. At that time, some …Read More