Japan auto companies triple Mexican pay rather than move to US

Trump hailed new NAFTA as American job generator, but higher prices appear in offing

20200627N mexico auto plant

A Mazda assembly plant in Mexico. (Photo courtesy of Mazda)

SHUJI NAKAYAMA and RYO ASAYAMA, Nikkei staff writers

NEW YORK/TOKYO -- The new North American free trade agreement that goes into effect Wednesday was touted by U.S. President Donald Trump as an engine of American job creation. But Japan's automakers are largely opting instead to keep operations in place and pay Mexican workers more or even just pay tariffs.

Sponsored Content

About Sponsored ContentThis content was commissioned by Nikkei's Global Business Bureau.