Intermittent railway blockages by protestors in Michoacan harmed the operations of several automakers in the country. GM, Ford, Honda, FCA and Kia were among the most heavily affected as auto parts were prevented from reaching assembly plants. Ford had to stop operations in its Cuautitlan Izcalli plant for three days. While vehicle transportation by boat registered an increase in 2017, insufficient capacity in several ports including Veracruz have created bottlenecks for automotive operations.
Regarding new projects, BMW’s plant in San Luis Potosi has reached an 87-percent construction progress. The plant has already attracted over 20 companies and could double that number once it starts operating in 2019. Meanwhile, Coahuila, Puebla, Nuevo Leon, Yucatan, Quintana Roo, Sonora, Hidalgo and Guanajuato are competing to attract the investment that the Chinese automaker BAIC plans to bring to Mexico.
AMIA expects the Mexican automotive industry to reach a total trade surplus of US$70 billion in 2018.
Automakers in the US worried about possible modifications to US monetary policy that could increase their distribution costs.