Automotive, mining, aerospace and construction industries resume their activities in Mexico
This Monday, the mining, aerospace, construction and automotive industries in Mexico have resumed their activities this week as long as they comply with the health protocols in accordance with the guidelines of the Secretaries of Health, Economy, Labor and Social Welfare, which will be supervised by the Mexican Institute of Social Security.
The Mexican government decided this due to the fact that these industries contribute more than 10% to the nation’s GDP. Thus, the General Health Council considered them as essential activities within the Mexican economy. Between January and October of last year, the automotive industry produced more than 3,200,000 automobiles, of which 2,836,000 were exported abroad.
Therefore, both its restart and that of the other industries will occur according to the return plan issued by the Government, which is divided into 3 stages for the restart of social, economic and school activities.
Initially, the automotive industry reopened because some automobile manufacturers– like General Motors– have slowly begun their production in the United States. Without Mexico’s production of the necessary parts of automobiles, the production chain could not be completed. According to Elisa Crespo, the president of the Automotive Cluster of the State of Mexico, if the automotive industry kept their operations on hold, it would be in danger of losing relevance among the countries to which it exports.
“If we do not supply our main trading partner (United States), we can be replaced by other competitors such as China, or another country that is rising from inactivity”, assured Crespo.
Additionally, The Ministry of Health has modified the government`s agreement on the reopening of activities in the Official Gazette of the Federation, so that those companies or industries who complete the review process by the secretariat before June 1, can start their operations.
The next stage of the government´s process would imply the reopening of some non-essential activities, the return of vulnerable groups to work and access to public spaces. This, despite the fact that the last official government report (17th of May 2020) shows that there are more than 11 thousand total confirmed cases of coronavirus throughout the country and 5 thousand 177 deaths, surpassing those of countries such as China, Turkey, Sweden and India
Sources: El Economista, Mexican Government official website, World Meters, El Financiero, Mexican Association of the Automotive Industry