The route to revive the economy starts by 'copying' the US: manufacturers

There is a guide that explains what the essential activities are. It is a 20-page document that mentions sectors such as metallurgical and automotive and activities such as manufacturing, and promotes the principles of health, national security and economic well-being.

"This list is intended to assist the State, as well as local, regional and territorial officials as they work to protect their communities, while ensuring the continuity of critical public health and safety, as well as economic and national security functions," mentions in its justification.   The document, in its version of April 17, also suggests that local administrations have the power to establish specific measures for their region and their industrial needs.   In the breakdown of the activities considered essential, he points out that the manufacture of metals for medical supply or related to transportation, the aerospace, energy and many other industries considered within the critical infrastructure are also allowed to continue during the Covid-19 pandemic. .   This guide, issued and applied by United States authorities, is the model that industrialists in Mexico hope to follow to revive the economy.   “One of the fundamental proposals is the homologation of the definition of essential industries and sectors with the United States, with North America, it is truly worrying to see companies that are inspected by the labor and health authorities and that are forced to suspend their activity when this activity in the US it would be considered essential because it participates in the actions to remediate the pandemic, ”criticized Guillermo Dillón, general director of the Chamber of the Transformation Industry of Nuevo León (Caintra).   “There are machining centers in Nuevo León that process metals that have been forced to close; some of these companies' products are components for the manufacture of intensive care respirators in the United States ”.   He highlighted that some activities such as the production of paper and cardboard, wrapping and even printing have been ruled out as essential, but they provide services to the pharmaceutical sector, so they cannot be stopped.   In the same sense, the president of the National Council of the Maquiladora and Export Manufacturing Industry (Index), Luis Aguirre Lang, stressed that the automotive, metal-mechanical, electrical, electronic, aerospace and plastics sectors have had to stop despite They are part of the supply chains of US manufacturing, so they have even submitted several proposals to the government since last March to expand the list of essential activities.   “We have already drafted a proposal where we are including a subsection to the Agreement published on March 31, which considers the manufacturing of the automotive, auto parts and cargo transportation sectors and clarifying with final destination the national and export market as well as the national suppliers of inputs and service providers for these sectors ”, he assured. Both leaders allege that the Mexican authorities have not paid due attention to the matter.   Just last week, the Pentagon drew attention to Mexico's dependence on some materials for its defense equipment manufacturing supply chain.   “Our team has focused on the lighting tool supply chain in recent weeks. I think one of the keys that we discovered are some international dependencies. Mexico is now a bit problematic for us, but we are working through our embassy, ​​”said the undersecretary of Defense for acquisitions and maintenance of that country, Ellen Lord.   On April 15, the United States National Manufacturing Industry Association sent a letter to the Mexican president asking him to base the country's list of essential activities on that of its northern neighbor.   And it is not because of pressure, but companies such as General Motors, Ford, Volkswagen, Toyota, Honda and BMW of the automotive industry in the US, which largely depends on Mexican supplies by up to 30%, according to Index estimates, announced that they will resume activities on May 4.   According to Aguirre Lang, their inventories can be around 24 hours, that is, that by day 5, which Americans celebrate Mexicanness, the sector could stop for running out of parts made in Mexico.   Just on Friday, the Ministry of Economy released a statement in which it expressed its interest in complying with the decisions of the United States and Canada in the automotive sector, but reiterated that it will put the safety and health of employees before resuming activities.

“In the coming days, the governments of Mexico, Canada and the United States will release more information about the reopening plan. Tri-national cooperation will allow this plan to be based on scientific evidence and best practices shared by public health agencies in the three countries.   “This collaborative exercise will serve as an antecedent to determine in Mexico the return of other non-essential economic activities. This joint effort will result in a common benefit for the three nations with a positive balance in public health and in the reactivation of the productive sectors ”, exposes the message.   According to Index estimates, around 25% of the 6,300 companies they group belong to the automotive and auto parts sector, while another 7% more would be in the aerospace sector, both of which are of interest to the US government.


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