A recent article published by Japan Times reports that “Japanese investments in Mexico remain steady,” especially in the automotive sector,thanks in part to growing vehicle production and the increased popularity of Japanese cars,according to research by the Japan External Trade Organization.
“More than 400 Japanese firms operate in Mexico today,with 56 investment plans announced over the past two years,” writes Japan Times. “Most of these investments,including expansion of existing operations,were in the auto and auto parts production,as well as related sectors.”
At a recent seminar that was organized to discuss Mexico’s booming economy and current Japanese investment trends,Takao Nakahata,who is a researcher with the Latin American Division of the Japan External Trade Organization’s Overseas Research Department,spoke in detail about the growing relationship between Japan and Mexico real estate.
“Vehicle production in Mexico has steadily increased over the past three decades to about 2.68 million units in 2011,with exports accounting for much of that increase,” reports the article in Japan Times. “The output in 2011 rose 14 percent from the previous year,making the country the world’s eighth-largest in terms of auto production.”
In addition,Japan’s own Nissan Motor Co. has quickly grown to become Mexico’s top auto manufacturer in recent years,followed closely by GM,Volkswagen,Ford and Chrysler. With the increase in production,Japanese vehicles have also reportedly enjoyed increased popularity among Mexico’s local markets,amounting to nearly 40 percent of the market share over the past two years,according to Nakahata.
“Mexico remains the second-largest Latin American market after Brazil,” he shared . “Its relatively young and growing population of 123 million has the potential of becoming a major consumer market.”