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US auto strike could impact Mexican auto parts sector by $12 million a day

Friday, 15 September 2023 00:41:26 (GMT+3)   |   San Diego
       

The United Auto Workers strike at three plants of General Motors, Ford and Stellantis in the United States could have a negative impact of $12 million a day on auto parts production in Mexico, the fourth largest market in the world, an industry expert told SteelOrbis.

"The calculation is $360 million per month [$12 million per day] for the three plants on strike in the United States. The loss in auto parts production in Mexico will be several billion if the strike extends to more than 150 plants," said Alberto Bustamante, former President and Former General Director of the business chamber Industria Nacional de Autopartes, and now advisor to the automotive industry in Mexico.

Mexico is the fourth largest producer of auto parts in the world and the main supplier of auto parts to the United States with a market share of 42.9 percent, far surpassing the second largest supplier, Canada, which contributes 10.9 percent, and China, which contributes 7.7 percent.


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