Mexico is a key country in the global automotive industry. The car brands that have factories and interests there have spent years investing to produce models and create work but it seems that with the new President of the United States, Donald Trump, will have problems. This Mr is contrary to brands do business and trade with Mexico or any country that does not fall to him well (for the reason that is) and has been proposed to annoy the brands that continue with their plans outside of United States.
However, seems that it consultant LMC Automotive has performing a study for know them investment that have the main brands of cars in Mexico and of he is can extract conclusions very curious. The studied brands have been, Fiat Chrysler Automobiles (FCA), Ford Motor Company, General Motors, Honda Motor Co, Hyundai Motor Group, the Alliance Renault-Nissan, Toyota Motor and finally the Volkswagen Group.
The main conclusion which has been reached is that major manufacturers of cars in the world, including the big three of the United States, they will not reduce their investments in Mexico despite threats that Donald Trump might pour over them. This is something significant because by the time seems that those companies are betting more by content to the new President of the country American.
Another conclusion to arrive at LMC Automotive experts is that the production of cars in Mexico will continue to grow until 2020 in contrast to the United States and Canada that will tend to decrease. In addition, also estimate a positive models that are sold in the United States, and they are manufactured in the neighboring country, they will also be more than those sold so far.
These forecasts mainly affect all studied manufacturers , and with the exception of FCA (think will adjust its production in the country to its current needs) all remain committed to manufacturing in Mexico. The report is coded these growths in the following way. The capacity production in Mexico will grow a 47 per cent, in United States a 12 percent and in Canada will decrease a 4 percent.
For now this is only a report, but the reality that describes is very true to what most likely will happen. However there to see how events develop between United States and Mexico to look towards that side falls balance.