China has already begun to succeed in the American automobile market and has become the largest competitor of Mexican auto parts products in the United States market. Although the current sales of auto parts originating in China in the US market account for one-third of the sales of Mexican products in the United States market, industry experts believe that Chinese products have a rapid development momentum and that exports to the United States will grow steadily in the coming years. Will challenge the Mexican product's position in the U.S. market.
China may challenge Mexico’s position in the US auto parts market
From January to July this year, China exported 11.13 billion U.S. dollars of auto parts to the United States, a year-on-year increase of 5.9%, and Mexico exported 30.55 billion U.S. dollars to the United States, an increase of 8% year-on-year. Bustamante, general manager of trade of the Indonesia Automotive Industry Association (INA), stated that in 2013 China surpassed Canada as the second largest auto parts supplier in the US market, but he questioned the quality of Chinese products and industry subsidies. In addition, the ink INA, the United States OESA and the Canadian Automobile Parts Manufacturers Association (APMA) have recently held a joint meeting to assess the North American market policy changes in the quality of automotive components and safety standards.
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