Published On: Wed, Jul 12th, 2017

Auto boom: Mexico’s exports set record in June

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Mexico’s auto exports set a record in June, fueled by a surge in shipments to buyers in the United States, the Mexican Auto Industry Association (AMIA) said on Monday July 10.

Vehicle exports rose 12 percent from a year earlier, while production was up 4.9 percent, Reuters reported.

Mexican auto factories exported 276,626 vehicles and produced 334,606 in June, according to data from AMIA.

Auto exports to the United States, Mexico’s top trading partner, reached 215,235 vehicles in June, up nearly 16 percent.

Shipments fell 6.7 percent in Latin America and 0.6 percent in Europe, while exports to Asia rose almost 64 percent.

Mexico accounts for about one-fifth of auto production in North America.

Total vehicle exports during the first six months of the year also set a record high, of 1.51 million units, up 14 percent from a year earlier.

The Mexican government is bracing for renegotiation of the North American Free Trade Agreement with the United States and Canada, as U.S. President Donald Trump has insisted that a new pact must be fairer to his country’s workers and companies.

Mexico’s booming auto sector has benefited from NAFTA as major manufacturers have made the country a top export hub, attracted by cheap labor and free trade pacts with more than 40 nations.

Source: reuters.com

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