Category Archives: Trade

U.S. freight shipments to Canada, Mexico grow 4.5%

Truckinginfo -The value of freight moved between the U.S. and its North America neighbors increased 4.5 percent in 2014 compared to a year earlier, while over the longer term trucking has some lost market share to other transportation modes. The overall value of freight on all modes totaled $1.2 trillion.

http://www.truckinginfo.com/news/story/2015/03/u-s-freight-movements-with-canada-mexico-increase-4-5-last-year.aspx

Why auto makers are building factories in Mexico, not the U.S.

The wave of investment has turned Mexico into the world’s seventh-largest producer of cars.
The wave of investment has turned Mexico into the world’s seventh-largest producer of cars.

By Dudley Althaus and William Boston / Wall Street Journal

A barren patch in the rugged hills along the Tennessee River is a sign of how Mexico has accelerated past the U.S. South in the global competition for auto investment.

The tract of cleared woodland lies alongside a factory Volkswagen set out to build in 2008. But four years later, when Audi decided to move global production of its Q5 SUV to North America, the prize went to Mexico.

“Mexico had more than 40 different free-trade agreements,” said Rupert Stadler, Audi’s chief executive. The pacts give exporters from Mexico duty-free access to markets that contain 60% of the world’s economic output.

While the bulk of Mexico’s auto exports go to the U.S. and Canada, its partners in the North American Free Trade Agreement, auto makers increasingly are turning to Mexico as a platform for selling world-wide.

http://www.wsj.com/articles/why-auto-makers-are-building-new-factories-in-mexico-not-the-u-s-1426645802

Indian refineries step up oil imports from Mexico

Economic Times – Indian refineries have consistently reduced imports from traditional markets like Saudi Arabia and Iran and have stepped up purchases from other geographies such as Mexico, Iraq and Venezuela while building inventories, as crude prices remain weak due to lower demand.

http://economictimes.indiatimes.com/industry/energy/oil-gas/indian-refineries-step-up-oil-imports-from-newer-geographies-like-mexico-iraq/articleshow/46590552.cms

Brazil, Mexico agree to extend auto trade agreement

WSJ – Brazil and Mexico they renewed vehicle quotas for four years, delaying the implementation of a free-trade agreement between the two countries.

The countries had allowed free trade in vehicles from mid-2011 to early 2012, then switched to the quota system after Brazil complained that the strengthening of the Brazilian real over the previous decade had made its cars uncompetitive abroad.

http://www.wsj.com/articles/brazil-mexico-to-renew-auto-trade-agreement-1425899470

Meeting set for Pacific trade deal in April

Reuters – A meeting aimed at sealing a Pacific trade deal has been called for April, Mexico’s economy minister said, adding he was hopeful it would be finalized in the next few months.

https://www.google.com/search?hl=en&gl=us&tbm=nws&authuser=0&q=mexico&oq=mexico&gs_l=news-cc.3..43j0l9j43i53.432516.435010.0.435596.6.4.0.2.2.0.122.349.3j1.4.0…0.0…1ac.1.pn5WQCixhZQ#q=mexico&hl=en&gl=us&authuser=0&tbm=nws&start=20

Mexico and Wal-Mart launch initiative to improve lives of farmworkers in Mexico

Laborers load broccoli on a truck at a farm in Michoacan. A Times investigation revealed labor abuses at Mexican agribusinesses that export to the U.S. (Don Bartletti / Los Angeles Times)
Laborers load broccoli on a truck at a farm in Michoacan. A Times investigation revealed labor abuses at Mexican agribusinesses that export to the U.S. (Don Bartletti / Los Angeles Times)

By Richard Marosi / Los Angeles Times

The Mexican government and Wal-Mart, the world’s largest retailer, have announced steps to improve the lives of the nation’s farmworkers, two months after a Los Angeles Times investigation detailed labor abuses at Mexican agribusinesses that supply major U.S. supermarket chains and restaurants.

Mexico’s secretary of agriculture, Enrique Martinez y Martinez, announced the creation Thursday of a “historic” alliance of produce industry groups that will focus on enforcing wage laws and improving housing, schools and healthcare for the more than 1 million laborers at export farms.

The group represents growers and distributors that handle 90 percent of Mexico’s produce exports to the United States, which have tripled over the last decade and now exceed $7.5 billion a year.

Separately, Wal-Mart said it is taking action to ensure that workers are treated with “respect and dignity,” reminding its in-house buyers that they should buy produce only from farms that meet the company’s standards for decent treatment of workers.

http://www.latimes.com/world/mexico-americas/la-me-farm-labor-20150213-story.html#page=1

Brazil wants to renew Mexico auto quotas

Reuters – Grappling with tumbling auto sales and weak economic growth, Brazil wants to renew an auto quota pact with Mexico that is set to expire in March, a move that could stoke trade tensions.

Auto trade between the two was then supposed to be fully liberalized, but Brazilian officials are now looking to extend the pact to avoid unlimited competition from Mexico.

http://www.reuters.com/article/2015/02/13/us-mexico-brazil-autos-exclusive-idUSKBN0LG2XW20150213

Mexico sets automobile production record in January

Mexico is the world’s seventh-largest manufacturer of automobiles and the No. 4 exporter.
Mexico is the world’s seventh-largest manufacturer of automobiles and the No. 4 exporter.

EFE

A record 266,424 automobiles were produced in Mexico in January, up 6.8 percent from the same month in 2014, the Mexican Automotive Industry Association, or AMIA, said.

The growth in automobile output “was bolstered by the plants that started operations last year” in Mexico, the AMIA said in a statement.

A total of 103,697 light vehicles were sold last month, a figure that was up 21.3 percent from January 2014.

The automotive industry in January experienced “the best level in history for exports of light vehicles in one month, exporting 204,907 vehicles, with 15.2 percent growth,” the AMIA said.

Exports to Asia and Canada grew strongly, rising 35.8 percent, compared to the 2014 figures for both regions.

Sales to Europe and the United States grew 15.3 percent and 13.7 percent, respectively, while exports to Latin America and Africa fell 25.5 percent and 13.5 percent, respectively.

http://latino.foxnews.com/latino/news/2015/02/10/mexico-sets-automobile-production-record-in-january/