RIO DE JANEIRO, BRAZIL - Mexico captured US$3.964 billion dollars of Foreign Direct Investment (FDI) in the auto parts industry in 2021, a record in the first full year of implementation of the Mexico-US-Canada Agreement (T-MEC), which came into force in July 2020.
When the T-MEC came into operation, the rules of origin for the automotive sector were tightened in North America, with the aim of encouraging greater use of inputs, parts and components originating in the region in finished vehicles.
Thus, the link between the T-MEC and FDI inflows to Mexico is pertinent . . .