Donald Trump managed to beat Hillary Clinton and became the 45th President of the United States Then how the impact on the US auto industry in the future.
Reported by CNBC on Wednesday (09/11/2016), a lot of people who said that Donald Trump wins, will lead to more volatility. And could disrupt the market of other countries, especially in developing countries.
Based on the MSCI (Emerging Markets Index) industry in many countries is still progressing quite well, up nearly 13 percent. Even in countries such as Brazil, Russia and Peru have increased rose more than 70 percent. However, many observers predict if Donald Trump was elected as President of the United States, then this should be changed.
In September, Citigroup released a report saying that the Emerging Market Index (MSCI) will fall by about 10 percent if Donald Trump wins, partly because of the currency market will weaken against the US dollar.
The main concern is that Donald Trump act more strictly against world trade. Donald Trump says he wants to negotiate NAFTA and the TPP, it can harm the developing countries that sell their goods in the United States.
Not surprisingly, Mexico is one of the countries most feel the impact when the victory of Donald Trump. Changing NAFTA would definitely hurt a number of sectors in Mexico, such as the automotive industry were developing in Mexico.
Because Mexico is expected to increase 56 percent in the production of vehicles between 2015-2020. With the election of Donald Trump as president of the United States then predicted to make the Mexican Bolsa (Mexican stock exchange), will receive a severe blow.
So what does Donald Trump in the White House mean for the US auto industry?
1.Establishing plants in Mexico could become a big political issue
2.Electric cars are in trouble
3.Economic instability could accelerate a cyclical sales downturn
4.Automakers could get a break on higher fuel-economy standards
5.The global gains that automakers have made could be curtailed
6.The auto worker unions could gain
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