Mexico becomes popular among China’s new energy vehicle enterprises

4月 2, 2024
 

“In the past year, the situation of new energy vehicles going overseas has attracted attention from all parties. Subsequently, China’s new energy vehicle giant BYD has set its sights on Mexico, planning to build an electric vehicle factory there. Consequently, Mexico is emerging as an important investment destination in the global automotive industry chain.

 

An important destination for global automotive industry chain —- Mexico

The automotive industry is Mexico’s pillar industry, after more than 100 years of development, Mexico has become the world’s sixth largest automobile production base, the fourth largest exporter of light vehicles and the fifth largest heavy vehicle production base. After 2020, the signing of US-Canada-Mexico Agreement and the Inflation Reduction Act has made Mexico a new hot land for investment by electric vehicle companies, and new energy vehicles have become a new growth point of the Mexican automobile industry, enterprises in the industrial chain have gone to invest and build factories, and the market prospects are broad.

 

Why Chinese automotive companies choose Mexico?

The development of Mexico’s new energy vehicle industry chain is relatively weak. However, under the global wave of new energy, Mexico will also become a big potential market. At the same time, Mexico’s lithium resource reserves rank tenth in the world with its abundant raw material.

Rich raw materials, a complete industrial chain, and a series of policies are significant. They mean that Chinese car companies aiming to enter the North American market must join the construction of the North American supply chain. As a result, Mexico has become the development point of which.

 

“Talent” has become the key to local operation of new energy vehicle companies

With the accumulation of experience in overseas production and operation, the overseas strategy of Chinese automobile companies is changing. In the past, it was mainly the export of complete vehicles sold overseas, overseas construction was focused on channel and brand construction. However, nowadays Chinese automobile companies have begun to focus on building factories in the local area, localizing parts, components and services. This puts forward better requirements for the localization of enterprise recruitment. Localized talents are more familiar with a series of local politics, laws, customs, culture and other situations, which can make enterprises more in line with the national conditions of the country, and further ensure the development and operation of enterprises overseas.

 

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