Mexico flirts with Ford to move production from Brazil: official

Mexico flirts with Ford to move production from Brazil: official

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Workers protest in front of a Ford Motor Co plant after the company announced that it will close its three plants in the country, in Taubate, Brazil, on January 18, 2021. The logo on the banner reads ‘Hunger’.

MEXICO CITY, Jan 19 – Mexico has expressed interest in the American Ford transferring part of the production to the Latin American country that ceased this month in Brazil after announcing the closure of three plants, so it will seek a rapprochement with the automaker Mexican Economy Secretary Tatiana Clouthier said Tuesday.

Last week, Ford Motor Co announced that it will close its three factories in the South American nation this year, so that manufacturing would cease “immediately” at two of the facilities, as part of a global restructuring of 11,000 million dollars that the company already has. had announced.

The automaker explained that the COVID-19 pandemic worsened the underutilization of its manufacturing capacity in Brazil and said the closures affected about 5,000 employees.


“I think it’s worth clarifying. It’s not that Ford said: I’m coming (to Mexico). We’re already looking for Ford to offer him (…): let’s see, what do you need, how do you need … How to flirt with him so that come to Mexico, “Clouthier said in a video press conference.


Ford did not immediately respond to a request for comment from Reuters on the interest expressed by the official.

The Mexican automotive industry registered drops of more than 20% in its production and exports during 2020 due to the effects of the coronavirus epidemic, and it is one of the sectors where the government focuses efforts to try to take advantage of the new regional trade agreement TMEC and generate greater added value.


Audi Mexico announced on Thursday that starting this week it would temporarily reduce work shifts at its local plant, due to global shortages in the supply of semiconductors due to the effects of the pandemic on consumption patterns.

Ford of Mexico said it had no effects caused by a lack of microchips in the plants where they manufacture vehicles, but the National Autoparts Industry (INA) showed concern about the “unusual shortage” of these components, driven by a greater global demand for them for cell phones and computers.

Ben Oakley
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