News: Mexican track car brand Vühl has said that it will soon begin production of the lightweight 05 sports car after securing sufficient pre-orders for the car. The batch of 20 'Edition One' models each cost around GBP69,900 (US$108,854) and are scheduled for delivery in early 2014. The car will compete with models, such as the Ariel Atom and the Lotus Elise, along with more street-oriented vehicles like the Lotus Exige S and the Porsche Boxster S.
BMI View: BMI maintains a bullish outlook on auto production in Mexico, predicated on low labour costs; relative weakness in the peso, which will serve to make exports more competitive; a high number of free trade agreements, including the North American Free Trade Agreement; and comparative weakness in the productive capacity of Mexico's regional competitors. We believe that these factors should continue to attract autos investment in the country, particularly for export-orientated production.