The week in automotive was filled with mixed results. On the one hand, USMCA’s ratification process continues but there is still no clear date for Canada and the US to give the agreement the OK. Sales results keep plummeting in Mexico, although PHEV results show a promising future OEMs with an electric offering.
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Luis Aguirre, President of Index, said Canada and the US should ratify USMCA before the end of the month. Otherwise, the process could complicate due to the US’ elections and the number of democrats running for office.
However, former Chief Negotiator for Mexico Kenneth Smith said ratification could take longer, maybe even till 2021. “There is a 65-75 percent chance to ratify the agreement this year,” he said at a conference organized by CLAUT. “If the agreement is not ratified this year, its result might depend on US President Donald Trump’s reelection.”
After an increase of 133 percent in 2Q19 compared to 2Q18 and a 63 percent boost in production during the same period, Tesla’s shares closed Wednesday with an increase of 4.61 percent. That being said, shares have fallen 29.4 percent over the entire year.
Electric bus manufacturer Proterra hired JPMorgan Chase & Co., Morgan Stanley and Deutsche Bank to prepare for an IPO. The company, which employs many former executives from Tesla, says it is waiting for right moment to file its IPO.
According to INEGI, sales of hybrid and electric vehicles in the Bajio doubled in March 2019. The region reported 170 units sold, which is a 100 percent increase from the 85 units sold in March 2018.
Overall domestic sales in June, however, reported the worst drop for that month since 2009. Results compared to June 2018 plummeted 11.4 percent, while in 2009 the drop compared to 2008 was of 31.2 percent.