Pesticides: Pesticides is another sector with virtually no national competition, and withharvestable land increasing yearly, there is strong market demand. These products havealso received heavy subsidies by the federal government for small producers.Packaging Equipment: General packaging equipment has also had a veryconsiderable increase in demand due to producers’ desire to begin packaging their ownproducts. This is the case for the poultry and meat processing industry. Exports requirestandardized packaging and labeling requirements, which needs advanced technologyand machinery that is not produced in Mexico.OpportunitiesReturn to topThere is virtually no national competition for agribusiness technology and equipmentsince 90% <strong>of</strong> products in this sector are imported, presenting an enormous opportunityfor U.S. firms. U.S. products are most <strong>of</strong>ten the first choice for Mexican companies, duein large part to the U.S. product reputation for excellent quality, innovation, andefficiency.The performance <strong>of</strong> the Mexican economy is one <strong>of</strong> the most important factors affectingfuture agribusiness related purchases. The large number <strong>of</strong> free trade agreements thatMexico signed has created a more open and globalized economy, affecting localproducers’ demand and ability to compete with international and subsidized products.The global economic crisis has forced most agribusiness companies to freeze theirbudgets for immediate equipment purchases. However, analysts predict that purchaseswill increase in 2010.ResourcesReturn to topSecretaria de Agricultura, Ganadería, Desarrollo Rural, Pesca y Alimentaciónhttp://www.sagarpa.gob.mx/Comisión Federal para la Protección contra Riesgos Sanitarioshttp://c<strong>of</strong>epris.salud.gob.mx/Asociación Nacional de Comercializadores de Fertilizanteshttp://www.anac<strong>of</strong>er.com.mx/Administración General de Aduanashttp://www.aduanas.sat.gob.mxFor more information on the agribusiness sector in Mexico, please contact:Mr. Juan Herrera, Commercial SpecialistU.S. Commercial Service, U.S. Consulate GuadalajaraJuan.Herrera@mail.doc.govTel: (011-52-33) 3615-1440 ext. 103Fax: (011-52-33) 3615-7665
Automotive Parts and SuppliesOverviewReturn to topAuto Parts Production for OEM and Aftermarket2008 2009 (estimated) 2010 (estimated)Total Market Size 39.7 30.3 38.7Total Local Production 26.1 18.5 23.6Total Exports 18.7 11.9 15.2Total Exports to the US 25.8 18.1 23.1Total Imports 18.5 13.6 17.4Total Imports from the US 13.8 11.7 14.9Figures in USD billions. 2009 * Estimates reflect a composite <strong>of</strong> World Trade Atlas Statistics andinformation provided by the National Auto Parts <strong>In</strong>dustry Association (INA)Total Number <strong>of</strong> Vehicles – Automobiles and Trucks2008 2009 (estimated) 2010 (estimated)Total Units Produced 2,102,801 1,507,527 1,854,258Total Units Sold in <strong>Country</strong> 1,025,520 754,918 928,549Total Units Imported 611,267 730,000 897,900Total Units Exported 1,665,133 1,226,513 1,508,610Source: Mexican Association <strong>of</strong> Automotive <strong>In</strong>dustry (AMIA) and Secretary <strong>of</strong> EconomyTotal Value Vehicles – Automobiles and Trucks2008 2009(estimated)2010(estimated)Mexican Exports <strong>of</strong> Vehicles to the U.S. 22.0 17.5 21.5Mexican Imports <strong>of</strong> Vehicles from the 4.8 2.2 2.7U.S.Figures in USD billions. 2009* Estimates reflect a composite <strong>of</strong> Transportation and Machinery OfficeStatistics, U.S. <strong>Department</strong> <strong>of</strong> Commerce (OTM)Mexico ranks as the 10 th largest vehicle producer in the world, which accounts for 17.6%<strong>of</strong> the manufacturing sector and 3% <strong>of</strong> national GDP. Mexico’s auto parts industry isclosely related to the U.S. industry. There are currently seven manufacturers in Mexicoproducing 40 brands in 20 manufacturing plants. Mexico produces around 2 million carson a yearly basis. Out <strong>of</strong> this number, 79% <strong>of</strong> production is devoted to exports and theremaining 21% for the local market. The National Auto Parts <strong>In</strong>dustry Association (INA)reported a decrease in the auto parts industry from 2008 to 2009.<strong>In</strong> 2009, the Mexican automotive industry experienced a significant slowdown and rapiddecrease in pr<strong>of</strong>itability due to several factors including the sagging global economy,28% reduction in local vehicle production because <strong>of</strong> lower demand not only by theinternal market but also a drop <strong>of</strong> 26% in exports, increased competition and higher price<strong>of</strong> raw materials such as steel and oil. The market realities have led to new trends in carmanufacturing, including smaller car sizes and increased fuel efficiency.The spare parts market is expected to increase after Mexico imposed new duties on theimportation <strong>of</strong> used vehicles in 2009. As a result, repairing and maintenance <strong>of</strong> usedvehicles will require varied parts. <strong>In</strong> addition, other opportunities exist for U.S. exporters
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individuals who are equally new to
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Local Time, Business Hours, and Hol
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Mr. Garth ThorburnDirector, U.S. Ag
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Asociación Nacional de Importadore