Last week, Mexico City hosted Automekanika, the autoshow with the signature of Messe Frankfurt. It is a great place to network and gather intel on auto industry.
It is common ground for all people involved in the auto industry the integration of manufacturing and supply chain in North America. International interest in Mexico keeps growing due to structure of market here. Numbers and achievements are not necessary to explain the importance of business generated.
Despite the current landscape of NAFTA, there is a positive attitude in OEM and aftermarket. It appears that industry is also ready to shape, adapt, reorganize or make alliances to face the challenges ahead of the new rules of foreign trade. Not to mention, automotive industry has a structured support and policies from the Mexican Government.
On the other side, it is important to pay attention to Bob Lutz who predicted that cars will be over in 20 years, and industry will change to autonomous modules to move persons and goods. Carmakers could not be invited.
While this trend is actually happening, capacity, infrastructure and logistics are in the market to adapt. Disruption can be agile, but incumbents have ground know-how to adapt. The answer could be NAFTA integration for whatever use the market will demand.
Photocredit: Bigstock / manufacturing parts for car engine