Recovery time for Mexican auto exports

A higher demand in US helped Mexican auto production to kick-up in October, indicating a recovery from the deep recession.

According to the Mexican Automotive Industry Association, automakers produced 184,769 vehicles in October, which is 26% more from September, and the highest since last year.

Mexico, which is a major car producer, sells 70% percent of its cars in the US markets, has been facing a decrease in its sales due to economic recession.

Moreover, the US recession has caused Mexican factories to shut, consequently spiking in unemployment and led Mexico’s consumers to cut back on retail purchases.

According to the central Bank, the Mexican economy has grown about 3 % in the third quarter, but the economist think that the employment level will still take time to come up.