The T-MEC boosted the metalworking industry in Mexico
Mexico Industry | December 29, 2021 |

The different regulations of the T-MEC will cause effects in the industry in Mexico, where the factor that will stand out is the use of steel and aluminum.

This implies that any vehicle containing these materials will have to increase its regionalization, which represents an opportunity for the production of steel parts, forged parts or aluminum to begin to be manufactured in Mexico.

Berenice Egure, international trade and customs partner at KPMG Mexico, announced that through the Senior Management Perspectives study in its 2021 version for Mexico, the entry of the T-MEC has been well received, as 56% affirmed that the operational impact for the company will be positive and 41% did not see an impact derived from the entry into force of the treaty.

Regarding the industries that registered a positive impact, the manufacturing sector is in third place, only after outsourcing and transportation.

Check here: Competitiveness of cities correlated with industrial demand

He referred that the impact can be visualized in two aspects: one is by the companies that are integrated in the global value chains, due to the impacts related to the rules of origin and being Tier 1, Tier 2 or Tier 3 suppliers of the automotive industry, must be aligned with all the requirements established in the specific rules of origin of the current treaty.

The foregoing will impact the regional content, original parts for light vehicles, among other requirements.

The second aspect is for those SMEs that are not integrated into a global chain, a specific chapter will be applied here so as not to move development and increase the commercial activities of these companies, generating a link between suppliers, buyers and potential commercial partners at an international level.

KPMG developed a tool to evaluate the preparation of companies for the T-MEC and we consider three aspects: customs compliance, compliance with labor laws and anti-corruption and cybersecurity issues.

The first is related to rules and procedures of origin, as well as aspects that impact the operation such as the use of an authorized economic operator.

With regard to compliance with labor laws, unfortunately the treaty considers sanctions for non-compliance with procedures.

The third aspect related to anti-corruption and cybersecurity issues highlights the importance of private industry.

Of interest: Competitive, dynamic and healthy, this is the industrial market of Mexico

Víctor Galván, senior manager of supply chain and operations consultancy at KPMG México, mentioned what is related to the machining process and the use of technology in tools necessary to carry out operations on the same piece, especially where there are multiple types of cutting .

He said that everything that relates to metal forming processes as well as the technology of

tips used in processes such as stamping, will also have great growth opportunities.

He said that sectors such as household appliances, where large stampings of stainless steel or aluminum materials are made, will demand parts made in the region where the industrial plants are located.

He said that stamping on various materials is done almost all over the world. The best-in-class for A-Class or exterior vehicle stamping was in Canada or the United States, but the trend went to Asia.

However, with the T-MEC, an opportunity should be created for this to be carried out in Mexico, because due to tariff issues, costs and more competitive advantages, it is a great opportunity to develop this technology that can carry out these processes demanded by the industry.

Finally, they indicated that companies in the manufacturing sector are adapting emerging technologies or enablers in order to improve their productivity, in addition to using the analysis of technical data on productivity, quality and efficiency.

In Solili you can consult industrial warehouses available in Guanajuato, San Luis Potosí and Saltillo 

Original note

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