Gorbachev Optimistic at Juarez Competitiva

Mikhail Gorbachev gave an inspiring speech before a replete auditorium at the Paso del Norte Cultural Center in Ciudad Juarez, Mexico. In the context of Juarez Competitiva, a two week long event aimed at promoting the international business sector of Ciudad Juarez, Mikhail Gorbachev offered words of encouragement that meant to inspire and motivate an audience of 2,000 ⎯ one that included a large number of young attendees. Click here to see more on the MexicoToday website.

FIAT to Export 50,000 Cars From Mexico to China Each Year

A few days ago, the first 100 cars of FIAT's Cinquecento model assembled in Mexico arrived in China. The FIAT manufacturing plant, which is putting together the latest edition of the Cinquecento is located in Toluca, Mexico and is quickly becoming another example of the valued quality engineering that Mexico offers. The Italy-based auto assembler plans to manufacture 100,000 of these units by February 2012. Victor Villanueva, CEO of Fiat Mexico said that Fiat will sell 50% of their production to the Chinese market. Click here to see to what other countries the Cinquecento will go.

Mexico Among Group of New Emerging Economies

Here's an article I found on Mexicotoday.org that talks about what I posted last week on the fact that now Mexico is considering one of the latest in a new group of emerging economies: MIST (Mexico, Indonesia, South Korea and Turkey). I'd love to hear your comments on this.

Heinz to Invest US$6 Million in Mexico

Via Maquilaportal.com
With a plant in Guadalajara, Jalisco, and corporate offices in Mexico City, Heinz Mexico estimates to close 2011 with invoicing for US$60 million, including exports. The Company plans investments for US$6 million in the next two years to produce in Mexico its flag-product, tomato ketchup.

New Bombardier Jet Manufactured in Mexico

There is news that the innovative, ultra-modern jet made by the aviation company Bombardier, which 5 years ago invested heavily to build it's first manufacturing plant in Mexico, is ready to assemble its new executive jet, expected to start flying in 2013.

The Canadian company, Bombardier, creator of the 8-passenger Learjet85, has invested US$250 million in Mexico since 2008. Click here to read more about this advancement in the Mexican aerospace industry.

New Emerging Economies to Enter BRIC term?

Jim O’Neill, the chairman of Goldman Sachs Asset Management, who coined the term BRIC to describe a group of emerging economies that comprises Brazil, Russia, India and China, said he planned to redefine growing markets and will explain the new approach to clients this month, the Financial Times reported. Read which countries he expects to include, here.

Analysis of U.S. Economy: Debt Ceiling

Via the Financial Times, here is a video that gives us a good idea of how economic analysts predict the conclusion of the debt ceiling talks before August 2nd and how it can potentially affect the rest of the world economy.

Unilever to invest 100 million Euros in Mexico

The world’s second biggest consumer goods company, Unilever, announced at the beginning of this week, that they plan to open a factory in Mexico, located in Jiutepec in the central Mexican state of Morelos in the CIVAC (Ciudad Industrial del Valle de Cuernavaca) industrial park.

President Felipe Calderon opened the new facility together with Unilever CEO Paul Polman, in which Unilever will invest 100 million Euros ($145 million dollars) in the factory over the next three years, as a way to double their sales growth. This new plant is expected to have a very positive effect on the economy of the region.

Click here to see the full story.

Foreign Investment in Mexico Stands Strong

As this article mentions, there is a lot of talk about the violence in Mexico, but what most people don't realize is that the border economy is still booming.

Last year Reynosa, a city along the border, added 4,000 jobs to the Mexican auto industry. These plants refuse to let the persistent violence affect their business; foreign investment in Mexico continues to roll in and plans for factory expansions are in motion.

Manufacturing Increases in Mexico

In the Latin American economy, there is a lot of talk about Mexico. The Mexican economy is “growing considerably faster” than that of the United States, according to an article by The New York Times.

The New York Times stated, “The Mexican economy, the second largest in Latin America after Brazil, grew 5.5 percent last year, its fastest pace in a decade, and is expected to grow 4.5 percent this year, driven largely by manufacturing as well as internal growth from an expanding middle class.”

International business expansion to Mexico has become very common with more manufacturing plants installing themselves in Mexico every year.

What are your thoughts on the subject? Do you have any news or insight you'd like to share?

Feel free to leave me your comments below.

Debt Ceiling? What Debt Ceiling? - Kelly Phillips Erb - Taxgirl - Forbes

Debt Ceiling? What Debt Ceiling? - Kelly Phillips Erb - Taxgirl - Forbes

Here is a great read, for those of you who want to have a better understanding about what the debt ceiling is and how it affects the U.S. economy. This is a huge issue in the news and is said that it could have grave consequences if not solved by August 2, 2011. Read more here.

Obama to Hold News Conference Before Monday’s Debt Talks

Obama to hold news conference before Monday’s debt talks - The Washington Post

There's a historic default looming and a fragile economy that's increasingly vulnerable to the consequences of Washington’s divide over taxes and entitlements. Negotiations on Sunday failed to forge agreement on the debt ceiling, leaving talks on the subject deadlocked. With just three weeks remaining before what economists warn will be the beginning of a grave economic situation that could have disastrous consequences for the U.S. economy, Obama told the group to expect to meet daily until a deal is reached.

Read more about the debt ceiling and how it could boomerang into the international economy.

Asia Stocks Decline After Weak US Jobs Report - TheStreet

The Street, an economic blog, reports on how the world stock market fell after new data on the U.S.'s job market was released last Monday.

"Economic news in the U.S. was disappointing," said a Barclays Capital report Monday. "The employment report was weaker than expected across the board: employment, unemployment, hours, and wages all reflected the same worrisome trend."

Data released Saturday showed a negative outlook; China's inflation accelerated to a three-year high in June even as the overheated economy began to cool.

See the rest of the story and what this could mean for international stocks.

Mexico's Wind Power Conference in June

As this interesting article mentions, Mexico Wind Power, is a Wind Power conference where Mexican leaders discussed making more of an effort to develop its own wind energy industry. In order to take full advantage of Mexico’s wind power potential, Mexico needs to promote its own wind energy industry, not only support projects, and send clear signals to the market to conduct research and innovation in this regard.

Cannon Power Group to Invest $2.5bn in Mexican Wind Farms

Today the news was released that US company Cannon Power Group will make a $2.5bn investment into new wind farms in Mexico. Currently active in the Baja California area, according to reports, they will build another wind farm in the central state of Zacetecas.

It was reported that President Calderon has stated that the capital commitment from Cannon brings foreign investment during his term up to $100bn.

Click here to read the full story.

Cemex Revival of Shelved Offering Sparked by Market Rebound: Mexico Credit

Cemex sold $650 million of its notes due in 2018 on July 6. The company sold the bonds to yield 9.5 percent (462 basis points more than similar bonds sold by Holcim Ltd., the world’s second-biggest cement maker).

In addition, Mexican central bankers will leave the lending rate at a record-low 4.5 percent today. Mexico is the only major Latin American country to keep borrowing costs unchanged in the past year.

Trade Agreement to Improve Economic Area

Up until this week, Mexican trucks were prohibited to travel within 25 miles of the border.
This change, in what was part of the NAFTA agreement signed in 1994, was made with the inception of President Obama, most probably due to security concerns.

“The agreement signed today between the governments of Mexico and the United States to resolve the cross-border long-haul trucking dispute is a major win for U.S. agriculture, American jobs and our nation’s economic prosperity,” U.S. Agriculture Secretary Tom Vilsack wrote in a release.

Mexico will lower existing tariffs ranging on U.S. goods by 50 percent at the start of the program and the remaining 50 percent will be suspended shortly after Mexican trucks are allowed to cross.

Click here to read more.

Increased Employment Rate Advances U.S. Stocks

Via WSJ:

Positive data in both U.S. employment and retail sales numbers sent investors back to risky assests.

The Dow Jones Industrial Average gained 82 points, or 0.7%, to 12708 by midsession, setting the index up for a seventh gain in eight sessions.

Investors' spirits were risen by an employment survey that showed U.S. private-sector jobs rose by 157,000 last month, outdoing economists' forecast by over 50%. The WSJ article states taht the figure "contrasted with months of weak readings on U.S. employment."
Click here for the full article.

The World Competitiveness Rankings 2011‬‏

YouTube - ‪The World Competitiveness Rankings 2011‬‏
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Check out this new performance rating with analysis and some surprising news on what countries you should be investing in overseas.

Which do you think are good companies to invest in, in Mexico or abroad? I'd love to read your comments below.

Mexico Experiences Biggest Trade Surplus in 15 Years

Today Reuters reported that Mexico exported $23.5 billion in factory goods in May compared to $22.9 billion in the previous month. In March, "Mexico posted its biggest monthly trade surplus in more than 15 years" as the Mexican economy benefitted greatly from higher gas prices as the United States' primary crude supplier.

Mexico's economy is expected to grow around 4.5 percent this year on factory exports and a rekindling of domestic consumer demand following the 2008-2009 recession.

Click here to get the full report on the increase in trade dollars.