The American carmakers continue to offshore production to Mexico and Canada
- The United States have offshored much production to Mexico in the 90s.
This offshore strategy (vehicle manufacturing to countries with cheaper labor) continues in the 2000s.
The production volume in Mexico is 29% of the production volume in USA in 2012, against 24% in 2008 and 13% in 2005. Most car manufacturers producing in the United States are now present in Mexico.
This offshore strategy (vehicle manufacturing to countries with cheaper labor) continues in the 2000s.
The production volume in Mexico is 29% of the production volume in USA in 2012, against 24% in 2008 and 13% in 2005. Most car manufacturers producing in the United States are now present in Mexico.
- The production transfer to Canada does not relate to the same logic. it is not an offshore. Labour cost in in the U.S. and Canada are quite close. It is however interesting to observe the volume of production in this country compared to the United States and Mexico.
The production volume in Canada is 24% of the production volume in USA in2012 , against 23% in 2008 and 21 % in 2005. Most car manufacturers producing in the United States are now present in Mexico.
The production volume in Canada is 24% of the production volume in USA in2012 , against 23% in 2008 and 21 % in 2005. Most car manufacturers producing in the United States are now present in Mexico.
- In total, the share of U.S. production in North America has declined significantly over the past 20 years.