No plans to move production out of Mexico, Renault-Nissan CEO reiterates
Renault-Nissan has no plans to move production out of Mexico despite threats of tariffs on trade between the U.S. and its southern neighbor, chairman and chief executive Carlos Ghosn told CNBC in a recent interview.
Ghosn said he expects a “rebalancing” of the 23-year-old trade deal between the U.S., Mexico and Canada, but does not foresee a scenario which could sorely hurt the manufacturer’s production plant in Mexico.
Nissan built its first overseas plant in Mexico 50 years ago, now produces more than 800,000 cars there, making it the largest auto manufacturer operating in the country.
“I’m not so worried because frankly I think NAFTA is so much in the interest of all parties,” said Ghosn.
“We are used to dealing with different countries, political change, agreement change, and this is not an exception,” said Ghosn, committing not to speculate but to react by adjusting its supply chain if necessary once any new NAFTA arrangements have been announced.