Bright Future for Latin America’s Automotive Industry

Due to key players in the automotive industry betting on Mexico’s capacity and potential, the industry keeps moving forwards. An example for this perception is the Mexican Ambassador  to the United States Esteban Moctezuma Barragán signing an agreement to increase semiconductor production in North America with the Arizona State University (ASU).Furthermore, Stelantis Mexico announced an ambitious strategy and will launch 16 new models in 2023.

The agreement between ASU and Esteban Moctezuma Barragán aims not only to increase the production of semiconductors in North America, but also to reduce the region’s dependence on Asian companies. Adding to that, it intends to strengthen the alliance between ASU and the Mexican government and universities. Moctezuma states that: “We need to continue working in this effort of bringing production back to North America. It is not just a matter of trade but of technology, education, competitiveness, innovation, workforce development, regional security and geopolitics“.

Tire manufacturer Bridgestone also bets on Latin America with an investment of            US$ 250 million and has already invested over US$ 100 million in its plant in Cuernavaca, Morelos since 2015.

The most important region for Mexico’s automotive industry remains Querétaro, closing 46 new investment projects during 2022, generating over 13,000 jobs and bringing the state over US$ 1 billion. This is an increase in the total number of projects of 48.8% compared to 2021.

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