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Main » 2010 » December » 22 » Mexico Autos Need
11:53 AM
Mexico Autos Need
Mexico is ideally positioned as a manufacturing hub for vehicles and elements. Mexico has one of the largest trade agreement networks, only topped by Chile. Via NAFTA, the access towards the North American marketplace are much easier, also not yet fully free of charge of restrictions and duties. In about 10 years time, however, free trade will become reality. 

Through an contract using the E.U., Mexcio is also able to provide to European countries on preferential terms. Investments from U.S. and E.U. businesses in Mexico today could be made without having any restrictions. The automotive industry in Mexico is very well developed so that's no problem in finding qualified labour. With typical wages of 581 USD, price of labour continues to be low.

In total, the car marketplace and particularly the aftermarket are appealing because of its size and its growth possible, respectively. Mexico can also be attractive as a manufacturing hub to provide North America, Europe or Latin America. In this element, Mexico is one of the main competitiors of the Asian countries. 

The major risk in Mexico is the dependency about the U.S. economy. While this has been reduced in recent years, there's still a powerful connection in between the two economies. With the U.S. economy slowing down, this can also have an impact on Mexico's consumers.

Although Mexican autos need looks set for a positive growth in 2010, any expectation that need in domestic recuperation is likely to become swift will obtain a blow, thanks to some quantity of regulatory and economic elements which will act as a deterrent to growth throughout the forecast period.
While the Mexican autos business association AMIA has known as for that federal government to introduce regulations and incentives to encourage new automobile sales, BMI stresses that improved autos financing offers the best feasible assistance for recovery in the country's autos demand.
Category: Automotive | Views: 257 | Added by: MrBlue | Rating: 0.0/0

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