We are ready to embrace new and greener automotive technologies. Unfortunately, Mexico’s infrastructure is not prepared. Other countries are already experiencing a technological transformation as gasoline and diesel consumption declines while methanol, electricity and hybrid alternatives grow. In advanced economies, it will take 10 to 12 years for these new technologies to become a key part of their industry but in Mexico it will take the same time for these technologies to start permeating the market. There are benefits in owning an electric or hybrid car, including no ownership tax and less gasoline expenditure, but the initial investment to acquire one of these models is still too high. If the government does not offer fiscal benefits for leasing eco-friendly solutions, this market will not grow. Limiting deductibility in leasing is frankly retrograde and Mexico is the only country in the world with such regulations.
Mexico has developed complete production lines from Tier 1 to Tier 2 and 3 suppliers, moving away from its original maquila idea. Engines, seats, control panels and many other components can be completely manufactured in the country from the tiniest wire to its connectivity features. Most OEMs have based their strategies on quality, costs and logistic advantages. Quality has to be the main driver for the local supply chain, along with the possibility of being a benchmark in terms of costs. Communication and integration are also vital for any client throughout all levels of the production, design and logistics process. Advanced manufacturing operations must also be a priority. Software and basic engineering processes are still carried in the companies’ headquarters. However, each day more and more universities collaborate with companies to encourage innovation and entrepreneurship among students.