US President-elect Donald Trump on Monday (Nov 25) pledged tariffs on the USA’ three largest buying and selling companions – Canada, Mexico and China – detailing how he’ll implement marketing campaign guarantees that might set off commerce wars.
Listed here are corporations with a producing presence in Mexico.
ASIAN AUTOMAKERS
Honda Motor sends 80 per cent of its manufacturing in Mexico to the US market and its chief working officer Shinji Aoyama warned earlier this month if the US have been to impose everlasting tariffs on autos imported from Mexico, it might have to consider shifting manufacturing.
Nissan Motor has two crops in Mexico the place it makes the Sentra, Versa and Kicks fashions for the US market. It produced almost 505,000 autos in Mexico within the first 9 months of this 12 months. The corporate doesn’t disclose what number of of these have been exported to the US market.
Toyota Motor has a smaller footprint in Mexico, making its Tacoma pick-up truck at two crops there.
It bought greater than 230,000 of the Tacoma within the US final 12 months, representing about 10 per cent of its complete gross sales in that market. Toyota used to supply the Tacoma within the US, however now ships all of them from Mexico, the place the automobile is the one mannequin it makes in its crops. Many of the manufacturing there may be for exports to the US.
Mazda exported round 120,000 autos from Mexico to the USA final 12 months.
Mazda President Masahiro Moro mentioned earlier this month the tariff difficulty is “not an issue that may be solved by particular person corporations”, and it might fastidiously study the small print earlier than deciding its response.
South Korea’s Kia Corp has a manufacturing facility in Mexico that makes its personal autos and a small variety of Santa Fe SUVs for its affiliate Hyundai Motor for US exports.
TESLA SUPPLIERS
Tesla inspired its Chinese language suppliers to arrange crops in Mexico in 2023 to primarily provide to the US automaker’s deliberate Gigafactory in Mexico.
Tesla initially deliberate to begin manufacturing in Mexico in early 2025 however has largely walked away from that aim and shifted to an enlargement plan with its Texas plant.
