Dachser
Mhlnews 4314 Dachser Automotive
Mhlnews 4314 Dachser Automotive
Mhlnews 4314 Dachser Automotive
Mhlnews 4314 Dachser Automotive
Mhlnews 4314 Dachser Automotive

Mexico's Automotive Boom Benefits US Logistics Industry

Feb. 19, 2016
Mexico is the biggest supplier of automotive parts to the United States, accounting for one-third of all imports.

The United States experienced an increase of 5.4% of manufactured vehicles, which places it right behind China, according to the International Organization of Motor Vehicle Manufacturers (OICA). The development of the automotive industry also has had a positive impact on the logistics sector.

"In the U.S., we are seeing a significant growth in our operations because of Mexico's automotive boom, which positively affects us." says Frank Guenzerodt, president & CEO of logistics services provider Dachser USA. "Nearshoring in Mexico has become more attractive for U.S.-based companies in the past years instead of outsourcing operations to China."

Mexico was the biggest supplier of car parts to the U.S., accounting for 34% of the imports in 2014.

In 2014, Mexican factories produced 3.2 million cars, a year-over-year increase of 9.8%, according to AMIA, the Mexican Automotive Industry Association. Mexico surpassed Brazil and is now the seventh-largest auto-producing country at a global level. A total production of 3.5 million vehicles was projected for 2015.

Analysts are also predicting that production in Mexico will reach 5 million cars by 2020, moving the country to fifth rank globally. "We have recognized a vast increase of shipments for the automotive industry," says Christian Speit, managing director of Dachser Mexico. "In 2014 we moved 36% more TEUs [20-foot equivalent units] compared to the year before."

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