Queretaro’s automotive industry will resume operations at a 70% capacity

Queretaro’s automotive industry will resume operations at a 70% capacity

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QUERETARO – According to the president of the Employers’ Confederation of the Mexican Republic in Queretaro (Coparmex), Lorena Jiménez Salcedo, the return of new essential activities in the state will be carried out gradually while the automotive industry will restart operations at 60 or 70% of its capacity due to the fall of the automotive market globally.

She explained that Coparmex has had an approach with members of the Querétaro Automotive Cluster, proposing that about 350 Tier1 and Tier2 firms resume work gradually.

On the other hand, due to the contraction faced by the automotive sector, local automakers foresee a reduction of 30 to 40% in the annual production level. The automotive market projects a 21% drop in car sales, which will affect a lower level of production in the supply chain that supports this industry.

“This year the idea of selling 20 million cars globally seems a difficult possibility, because of everything that has happened”. “The United States depends mostly on auto parts that come from Mexico and companies are receiving a lot of pressure from their clients, "said Jiménez Salcedo.

The head of the Mexican organism added that the resume of operations in the state’s productive sectors will not depend merely on dates but on safety and hygiene conditions depending as well on the companies’ compliance with health protocols.

Source: El Economista

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