USMCA attracts automotive investment in Nuevo León

Category: News
Published: 2019-04-03

MEXICO – The new rule of origin stipulated in the treaty between Mexico, the United States and Canada (USMCA), agreed by the end of last September, has made the automotive industry of Nuevo León and Aguascalientes more attractive to countries in the Asian region.

“There is a lot of interest from other countries to invest, mainly in Asia, because of the rules of origin that are now going to be required”, stated the head of  Secretaría de Economía y Trabajo (SET) of Nuevo Leon, Roberto Russildi.

Although some experts have argued that the new North American agreement has one of the most complicated measures, some auto parts manufacturers from China, Japan and Korea have shown interest in establishing themselves in the entity.

“We already have formal investments from Japan, China and Korean auto parts suppliers who are in the final stages or have already approved their investments,” he said in an interview.

Mr. Russildi affirmed that the mentioned companies have invested around US$600 and US$700 million. He recalled that Nuevo Leon attracted at least US$4.2 billion of foreign investment during 2018, but nearly US$1 billion came from companies that made the decision to expand their existing operations.

Source: 20minutos