Mexican parts makers could take three years to retuen to pre-crisis production levels, the National Autoparts Industry, or INA , trade group has said.
Exports and production in the country fell 40% between January and July.
INA economic research head Sophie Pons said Mexican parts production could fall 30% this year in a sector that generated US$58bn in 2008.
“We see a recovery to 2008 levels between 2011 and 2012,” Pons told Reuters in an interview. “We can’t be optimistic until we see a recovery in US purchasing power,” she added.
About 70% of cars produced in Mexico are shipped to the US market which is suffering one of its worst downturns since World War Two.