It was deemed necessary by the Covid 19 pandemic to provide a brief overview of the current state of die casting in the United States and Mexico, as well as its future growth prospects, in response to the Covid 19 pandemic. According to this article, die casting companies in North America are currently facing a number of challenges, and it is possible that the industry will face even more challenges in the future.
Because of their close proximity to one another and their shared history as business partners and competitors in the die-castingdie casting company, the United States and Mexico occupy a unique position on the global stage in the die-casting industry. Also having an impact on recent die castingzinc alloy die casting developments in the United States and Mexico are the Covid19 coronavirus pandemic and political tensions between the United States and Mexico, global supply chain issues, and a general decrease of overall consumer demand. These occurrences have caused a number of foundries and manufacturers to experience difficulties in dealing with the situation.
In Mexico, the die casting industry is expected to grow significantly in the twenty-first century (and beyond).
Mexican die castingdie casting mold is currently the tenth most important in the world in terms of global importance, trailing only China and the United States in terms of importance, according to the World Economic Forum. The World Aluminum Association also reports that the country is seventh in the world when it comes to aluminum alloy casting production, trailing only China, Japan, and the United States. Mexico's foundries are working tirelessly to produce a diverse range of products that are used in a wide range of industries throughout the country. Aerospace, automotive, consumer products (including appliances), and a variety of other industries are included in this group of industries. There are approximately 350,000 job openings in Mexico's die casting industry, which includes more than 100 casting plants and 25,000 companies involved in the industry. The industry employs approximately 350,000 people.
The explosive growth of Mexico's metalworking industry in recent years has been fueled by a significant increase in demand for lightweight automobile and auto aluminum die cast components, both domestically and internationally. According to official government statistics, the aluminum industry in Mexico has expanded at an average annual rate of 13% since 2011. Approximately $1 billion dollars was spent on the construction of 26 new foundries in Mexico during the period 2010-2016, according to estimates. The number of high-pressure die casting suppliers at the tier 1 level, the tier 2 level, and the tier 3 level, according tozinc castings statistics, has increased significantly since 2010.
Die casting companies are expected to account for approximately 80% of all automotive parts manufactured in Mexico by the year 2020, according to industry forecasters. They produced goods and services worth USD7 billion in that year, which helped to boost the country's gross domestic product. The automobile manufacturing industry accounts for approximately 63 percent of all cast iron products manufactured in Mexico, according to estimates. Just over 54% of these products are intended for domestic consumption, with the remainder destined for export to countries such as the United States, Germany, Japan, and South Korea, as well as Central and Eastern Europe and the Middle East. With an increasing number of Mexican states and provinces, such as Nuevo Leon, the State of Mexico, the District of Mexico, Coahuila, and Baja California, investing in the field of aluminum die casting, the aluminum die casting industry is gaining traction in the country. Among the states and provinces that have made investments in the industry are Mexico's State of Mexico, the Distrito Federal de Mexico, Coahuila, and Baja California, to name a few.
Specifically, the Mexican die casting industry suffered as a result of the Trump administration's renegotiation of the 1994 North American Free Trade Agreement (NAFTA). The renegotiation took place in 2018. A new trade agreement was negotiated to deal with the demise of the North American Free Trade Agreement (NAFTA). The United States, Mexico, and Canada Agreement (USMCA) was signed, which required that up to 45% of automobiles sold in the United States be produced in countries where workers could earn a minimum wage of USD16 per hour or more. As one of its provisions, the agreement called for the elimination of tariffs on automobile production, which was one of the clauses included in the agreement.
