preview

Mexico : A Potential Market For J Tec Industries Essay

Decent Essays
Mexico Mexico offers vast opportunity as a potential market for J-Tec Industries. Its accessibility and limited trade barriers make it ideal for direct exporting. Under the North American Free Trade Agreement, cross-border investment and trade has increased to more than 1.1 trillion USD in 2016. Additionally, foreign direct investment has also increased to more than 100 billion USD. Since its implementation, hundreds of thousands of manufacturing jobs have been created in Mexico. (Council on Foreign Relations, web, 2016) The low cost of labor is appealing to manufacturing companies. Euromonitor also notes there are approximately 20,052,772 people employed in the manufacturing industry as of 2015. (Euromonitor, web, 2016), thus making Mexico an attractive market for J-Tec’s CarryMore Tugger Cart System for handling and transporting materials. The Office of the United States Trade Representative notes US trade of goods and services totaled $583.6 billion in 2015 alone. $267.2 billion were exports whereas $316.4 billion were imported. Additionally, Mexico is the US’ 3rd largest trading partner of goods and 2nd largest export market. Top export categories include machinery, mineral fuels, and plastics. Not only is Mexico a well-established trading partner, they are also the leading importer of operator riding, self-propelled material handling equipment from the US. According to USA Trade Online the US exported $242,959,337 in material handling equipment to Mexico.
Get Access