What do people expect Mexico to do? It's entirely reliant on America's export market. It's domestic auto industry is dead without America.
If BYD wants to keep selling in Mexico, it can always ship from Brazil or build factory locally.
New Energy Vehicles (NEVs) in China
- Thread starter supercat
- Start date
If BYD wants to keep selling in Mexico, it can always ship from Brazil or build factory locally.
People might expect Mexico to eventually learn their domestic auto industry can also die if China stop issuing RE export licenses, but that lesson probably can't be learned without a demonstration.
China issued explicit directives to not build factories in countries that tries to use tariffs to force localization, if Mexico wants local factories they just ended that prospect.
Mexico has plenty of local plants for exporting to America. Why do they need Chinese factories?
China can play the RE card with Mexico if it really wants to, but given the large trading surplus China has with Mexico elsewhere, you might not want to deploy it so quickly.