The Week in Automotive: Speeding up ProductionBy Alejandro Enríquez | Fri, 12/06/2019 - 12:53
Despite decreasing car sales, Toyota is ready to produce Tacoma in Guanajuato while GM will produce Chevrolet Onix in San Luis Potosi. However, the production milestone of 5 million units expected to be reached in 2020 will be delayed until 2025 according to Deloitte.
Regarding USMCA, ratification expectations are no longer positive for 2019. While Deputy Minister Jesus Seade is in Washington to renegotiate demands presented by the US, unions in Canada and Mexico have drawn a line on any updates to the agreement.
Ready to hit the road? Here’s your weekly news roundup and a special nod to the new-coming models.
- Toyota Supra 2020, the new sports whim
- Ferrari Roma, smooth driving
- Land Rover Discovery Sport Mild-Hybrid 2020, reaching the horizon
- Ford Mustang Mach-E 2021, facing the future.
Mexican Market Highlights
- The sales downturn sums 30 months in a row. In November just 124,797 units were sold, which was 7 percent less than last year.
- Toyota ready to start Tacoma production at its plant in Apaseo el Grande, Guanajuato. The company expects to reach maximum production of 100,000 units.
- Volkswagen expects to reach record sales in its business vehicles segment as the company aims to close 2019 with 20,000 units sold.
- GM starts production of the Chevrolet Onix in San Luis Potosi. Sales in Mexico will begin in 1Q20.
- Deloitte says the milestone of reaching a production figure of 5 million units in Mexico will be delayed until 2025.
What’s New For USMCA
- Deputy Minister for North America Jesús Seade said on Thursday there are lines Mexico cannot cross regarding the labor chapter in USMCA.
- Mexican unions reject any kind of intromission from the US or Canada in its internal affairs.
- Robert Lighthizer, US Trade Representative, has intensified talks with US Congressmen and Jesús Seade to speed up the voting of USMCA.
- The President of Unifor, Canada’s largest private union, sent a letter to the Mexican Minister of Labor, Luisa Alcalde, to suggest a significant raise in Mexican salaries as soon as possible.
- Mexico negotiates the possibility to get funds from the US and Canada to fully implement the labor reform, according to Canadian newspaper: Global and Mail.
Future is Here
- GM and LG to build US$2.3 billion electric vehicle battery plant in Ohio.
- Hyundai Motor bets on electric vehicles with $52 billion investment plan between 2020 and 2025. A third of the budget will be destined to electric and autonomous vehicles.
- Didi Taxi opens in Cuernavaca.