Chinese automotive supplier in Mexico decreases due to the effect of the T-MEC
RIM | December 13, 2021 |

One of the implications of being a trading partner of its northern neighbors is that, to strengthen the region through the Treaty between Mexico, the United States and Canada (T-MEC), it is practically mandatory to close the door to imports of materials, components and parts of Chinese origin destined for sectors such as the automotive industry.

According to Alberto Bustamante, interim executive president of the National Auto Parts Industry (INA), as of this year the decrease in purchases of merchandise produced by the "Asian Giant" destined for the Aztec territory is significant.

This shows the firm determination to put an end to a dependency that, as a result of the pandemic, has negatively impacted the production lines due to the prevalence of shortages.

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"The Mexican automotive sector reduced its imports from China and from the more than 8 billion dollars that were registered previously, this year it will close with 7 thousand 284 million dollars (million dollars), which translates into 13.8% of the total purchases made abroad. However, it is estimated that Asian operations will continue to decline as they are replaced with imports of US origin, a market from which 52.4% are bought, ”he says.

An analysis released by the INA reveals that at the end of this year, the automotive sector will close with a trade balance of 82 thousand 409 million dollars, higher than the 77 thousand 862 million dollars reached in 2020, but lower than the 88 thousand 867 million dollars registered in 2019 .

They also mention that Mexico will not be able to assemble more than half a million light vehicles due to the lack of semiconductors, causing a negative impact on the finances of the assemblers, although this segment occupies the third place among its priorities, since in the national territory the models SUV and Pick up surpass him in manufacturing.

Another point to highlight is that while the production of light vehicles has not been able to reach the levels registered prior to the pandemic; the manufacture and export of heavy vehicles in Mexico even exceeded their 2019 numbers with great expectations for the 18 dedicated plants in the national territory.

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Regarding the production of auto parts, Mexico is currently in the fifth position, although it is expected that in 2023 Germany will be displaced from fourth place by virtue of the fact that it will produce 102 billion dollars, ruling out that the increase in vehicle production Electricity is going to affect Mexican companies linked to the manufacture of auto parts.

“In the next 10 years the production of electrical and internal combustion will be balanced and at the same time both ranges will be manufactured. So the change will not affect Mexican auto parts companies, as they are already working to supply the demand for vehicles with new technologies. We will have a great opportunity ”, emphasizes the manager.

Bustamante also mentioned that two semiconductor plants will be built in the United States, but it will take two years and from there, Mexico will be in charge of chip programming in Tijuana and Jalisco.

In Solili you can consult industrial warehouses available in Querétaro, Guanajuato, Aguascalientes and San Luis Potosí

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