Published On: Sat, Dec 13th, 2014

Despite the peso fall, Mexicans keep spending their “aguinaldos” in the US

Share This
Tags

Mexican consumers who live along the northern border have spent US$7.5 billion in American businesses in 2014.

The figure still impresses business organizations: 7.5 billion dollars. This is what Mexican consumers who live along the northern border have spent in American businesses in 2014.
 
According to estimates by the Colegio de la Frontera and the National Chamber of Commerce in Tijuana, the strengthening of the dollar (approaching 15 pesos) has not stopped consumers from spending on the neighboring country.
 
Gilberto Camacho Leyva, president of the National Chamber of Commerce (Canaco), explained that the trend is due to the recent tax reform, which rose taxes from 11 to 16%.
 
“We became less competitive, because California’s VAT is 8%,” Camacho said.
 
Another factor that has triggered the flight of consumers is the recent renovation of the San Ysidro border crossing, considered the world’s busiest. Until a couple of months ago waiting times to enter the United States were about three or four hours, compared to between 10 minutes and half an hour at present.
Tijuana - San Ysidro Border Crossing (Photo: Google)

Tijuana – San Ysidro Border Crossing (Photo: Google)

Canaco calculates that at least 40% of Tijuana inhabitants have visa to enter the United States.
 
One of them is Guadalupe Acosta, a resident of Tijuana that drives to the United States twice a week to save money.
 
“In America everything is cheaper, despite the rise in the dollar. And the quality of products and gasoline can not be compared,” she explained.
 
In Mexico gasoline costs about 13 pesos (88 cents of a dollar) per liter, while in the United States it costs 9.96 pesos (67 cents).
 
The Canaco calculates that this trend has pushed at least 800 businesses to close down in Tijuana.
Source: www.eluniversal.com.mx

Mexico Travel Care

footer-john-2


Comments

comments

Leave a comment

XHTML: You can use these html tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>