Alexander W. Wehr, president and CEO of BMW Group Mexico, Latin America and the Caribbean, has reiterated the opening of its new plant in San Luis Potosí in 2019.
Mexico is one of the most important markets in the world for the German automotive group BMW, so the company endorsed its commitment to continue its investments in the country and reiterated the opening of its new plant in San Luis Potosí in 2019.
President and CEO for BMW Group Mexico, Latin America and the Caribbean, Alexander W. Wehr, said that “at the end of the day, in an environment affected by the exchange rate, by any Free Trade Agreement, the road ahead is clear and focused on Mexico.”
He said that if the Mexican peso depreciates further and if tariffs on international trade rise, there could be some adjustments in the management of the business from Mexico but assured, “we are not worried and we are optimistic”.
Although he acknowledged that greater appreciation of the dollar does not support the sale of vehicles, the price adjustments are not significant, as these are up to 30 percentage points lower than depreciation.
“So, in reality, for us it does not have any disadvantages and the strategy is not to pass more cost to the final consumer and keep the dealer network profitable,” he insisted.
He acknowledged that investments in the distribution network in Mexico have been very important during the last 18 months, with around 100 million dollars in favour of servicing clients, a reason why one of the tasks is to maintain the responsibility of the agencies.
He remarked that one of the main achievements that was consolidated this year was the laying of the foundation stone for the plant in San Luis Potosí, where the Series 3 model will be manufactured.
It will be one of BMW’s largest plants outside Germany, as the expansion of the group’s production network has always pursued the goal of supporting the growth of global markets, he added.
The investment of one billion dollars in an initial phase will allow the manufacture of about 150 thousand units of the sedan, vehicle that is a symbol and banner of the brand.
Source: Mexico News Network
You might also be interested in:
We are at the precipice of a new decade of change for women. As 2020 creates new promises across different socio-economic fronts, this decade will embrace and welcome women’s role in government, politics, business and corporate leadership in a way that normalises their presence and influence in otherwise homogeneous male environments.
We find ourselves in a time that is unfortunately affected in all aspects of our lives by an invisible threat. It’s a threat that not only affects human health, but has entered people's minds with devastating effect, upsetting their psychological balance and the economic health of society, and as a result posing existential questions by part of the population itself.