Covering the Industry's Economic, Legal & Financial Issues
MexicanAutomotive covers the Mexican automotive and auto parts industries, and is published monthly in English and Spanish. MexicanAutomotive reports on general Mexican automotive industry topics, as well as economic, financial and legal issues affecting the North American automotive industry. Published by Cacheaux, Cavazos & Newton (CCN), subscriptions to MexicanAutomotive are free. CCN is an international law firm with offices in Texas and Mexico. The firm provides legal services in many practice areas including Automotive law to clients doing business in the NAFTA region.
| Mexican automobile looking for luck in Europe |
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The Mexican automobile assembler Mastretta has begun exporting the MXT Mastretta. Thirty percent of production will remain in Mexico, while 70% is destined for Europe. Mastretta plans to produce 200 autos the following year. At the moment, it is looking to obtain the European certification in order to produce autos on that continent. The MXT Mastretta entered the public spotlight as a result of a disparaging comment on the automotive program, Top Gear, on BBC London where the hosts compared it to a tortilla. This comment even led to a minor diplomatic incident but served to highlight the fact that it was a Mexican brand garnering attention. The Mexican automobile will have a price of $58,000.00 and will be available in electric orange. One of its creators, Daniel Mastretta, stated that they acquired 0.5% of the market this year. Currently, 40 workers assemble an MXT each month at the Mastretta Design factory in Toluca, Mexico. By the end of the year when production has stabilized, the goal is to finish two cars per week. According to the Mastretta brothers, the production of a compact auto requires a factory investment much more costly that that made to assemble and design 100 autos per year, with techniques which they say are akin to artisan work. In an interview, the Mastretta brothers stated, “In order to manufacture a compact automobile or a cheap one, we would need to invest a lot and the truth is, our techniques are akin to artisan work because they are industrial techniques which are low volume and highly controlled.However, despite this low volume niche, our market is surpassing us.”
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