Despite the United States, investment in the automobile does not fall

[email protected]

Despite US policies that discourage investment in the auto sector in other countries, Mexico has remained the largest recipient of projects in the sector in Latin America, said the Executive Secretary of the Commission Latin America and the Caribbean (ECLAC)), Alicia Bárcena

"Foreign Direct Investment (FDI) in the Automotive Sector Reaches Record Levels and is Concentrated in Mexico and Brazil," responsible at a press conference, even though the projects remained in the

At the presentation of the study Foreign Direct Investment in Latin America and the Caribbean 2018, the representative of the organization that is part of the UN said the arrival of investment in Mexico was recorded despite tensions in the exchange of goods and services, the war commercial and nationalist industrial policies that increase uncertainty, especially When visiting the country to present the study, he explained that FDI in the Mexican economy is concentrated in the manufacture of advanced export products, particularly in the automotive, aerospace and electronics industries. For Mexico, the challenge is the lack of greater integration of components
or inputs in electronic materials exports.

Although Mexico is a leader in television and computer exports, it is only an badembly. its imports are imported.

"The structure of imports shows the lack of high-tech suppliers required by Mexican industry," said Bárcena

"It's there that Mexico is a low-cost link in the global value chains The electronics industry in the world has received $ 20 billion to develop between 1999 and 2017, but Mexico has been left out in research, design and research of components, "he said. Explain.

It is here that we must emphasize and overcome that 97% of the components used by Mexico in all industries are imported, "said the directive.

FDI in decline. Foreign direct investment (FDI) fell by 3.6% in 2017, accumulating a 20% drop from 2011, reported the executive secretary of ECLAC.

The official of the organization explained that the region received 161 thousand 673 million dollars, a figure that means a cumulative decrease of 20% compared to 2011, year in which 207 thousand 225 million dollars were captured.

This decrease is mainly due to reduced FDI capture in Brazil, Chile and Mexico, he explained.In the case of Mexico, investment fell by 8.8% between 2016 and 2017, while in the case of Brazil and Chile, the decline was 9.7% and 48.1%, respectively

Bárcena pointed out that The main investor of South America, while the United States were for Mexico and Central America.

The executive secretary of ECLAC badured that there is a change in the trend in the main investment destinations, since the prices of raw materials or natural resources have decreased investments, while that those of renewable energies, telecommunications and the automobile have rebounded.

Despite the declines, the countries that received the most investments in Latin America in 2017 were Brazil, with 70 thousand 685 million dollars; Mexico with 31 thousand 726 million and Colombia with 13 thousand 924 million.