General Discussion Topics, page-13163

I think the combination of the switch to electric vehicles which have far fewer parts and the mandates put into place for the USMCA will have a far greater impact on decisions about supply chain for auto manufactures than originally anticipated.

https://www.industryweek.com/the-economy/article/22026500/how-will-the-shift-from-nafta-to-usmca-affect-the-auto-industry


For instance an ICE engine has over 2000 parts which means 500 of those parts could be source outside of North America. EV Motors have 20 parts which means only 5 parts can be sourced outside of North America. This puts both Canada in a prime position With Canada taking on almost 100% of the battery metals mining and processing and potentially pulling some of the assembly away from Mexico.

I believe the Quebec hub will grow to be the supply choice for most US auto companies, and likely will include anode and cathode productions and at least 1 giga-factory. (Tesla Giga-Quebec) . Within a 200 mile radios of NAL you could source Nickle, Cobalt, Manganese, Graphite, of course LITHIUM. You have heard of farm-to-table? Quebec will have Mine-to-vehicle assembly.

Mexico will likely lose some of the vehicle assembly business because of this portion of USMCA


By the time you pay shipping to Mexico and shopping back to the US, you probably will do just as well doing your assembly closer to home, plus you can advertise your patriotism along with your lower carbon footprint (in the form of less shipping). So do we revert back to the good ol' days where we mfg most cars in the Detroit area or does this also move farther north? Time will tell.