Mexican auto and auto parts manufacturers are pushing for Covid-19 restrictions to be lifted by 17 May, which would help the industry align its restart with US and Canadian manufacturers to minimize supply chain disruptions.
Manufacturers in Mexico are lobbying for an early opening of their facilities on 17 May, said Francisco Cervantes, president of Mexico's industrial chamber confederation (Concamin) — a group of different industrial associations, including the automotive industry.
That would be two weeks before the planned lifting of the country's current restrictions and just a day before the three major US automakers Ford, General Motors and Fiat-Chrysler begin restarting their North American auto plants. North American auto plants shut down starting in the middle of March because of the spread of Covid-19.
Restarting the US auto industry relies greatly on Mexico, which supplies many parts and components to US and Canadian plants, as well as assembles vehicles.
"We'll see when the assembly plants get started up down there but they understand that we need to get the suppliers going, otherwise North America doesn't start," said Don Walker, chief executive of major OEM supplier Magna International.
US-based and foreign automakers have a substantial presence in Mexico, with more than 20 manufacturing plants making vehicles and major components like engines.
GM has been in regular contact with Mexican officials about safety protocols around its plants, company chief executive Mary Barra said.
The Mexican automotive industry association (AMIA) said 11 of its 12 members closed their plants because of the shortage of materials and components coming from the US, Asia and Europe. Only Kia Motors kept its plant running.
Mexico's light vehicle production, exports and sales have been heavily impacted by the near total closure of auto plants, according to data from Mexico's National Institute of Statistics and Geography (INEGI).
Vehicle production plummeted by 99pc to 3,722 units in April, down from 300,106 in the same month of last year, and was off by 29pc for the first four months of 2020, to 912,115 vehicles.
Mexican vehicle exports in April fell by 90pc to 27,889 units, down from 284,471 in April 2019 and were down by 28pc in the first four months of the year to 807,158 units.
Close to 70pc of Mexico's vehicle exports are for the US market.
Mexico's domestic vehicles in April also fell by 65pc to 34,903 units from 98,346 in April 2019. From January to April, sales dropped by 23pc to 331,580, from 431,346 last year.
