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Lack of clean energy halts $3.5 billion investment in Mexico

Monday, 21 October 2024 10:27:18 (GMT+3)   |   San Diego
       

For the auto parts industry in Mexico, a risk factor is the lack of sufficient clean energy to boost investment. Without mentioning the names of the companies, the president of the business chamber National Auto Parts Industry (INA), Francisco González Díaz, told the media.

He said that there are some investment projects for $3.5 billion, but that amount will depend on the sufficient supply of clean energy.

He said that the industry needs clean energy. Without a sufficient supply of clean energy, only a part will be invested. “There would only be investment in the first phase, but there would be no investment in phase two or phase three due to lack of energy,” González said, according to Diario.Mx.

INA data shows that the Mexican auto parts industry is the fourth largest in the world. In the first half of the year, production totaled $63.3 billion. It has a trade surplus of $19.53 billion, with exports of $55.25 billion and imports of $35.72 billion.

Mexico is the leading supplier of auto parts to the United States with a market share of 43.0 percent, well ahead of second-place Canada with 10.3 percent and third-largest player China's 7.6 percent.


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