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Nationalizing Update


Sonia

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Below is an article dated Feb 11, 2015 regarding nationalizing which I have summarized.

The heading is: THERE WILL BE SOLUTION TO THE ISSUE OF IMPORTATION OF USED CARS. The article states the Mexican auto manufacturers had pressured the government to stop all used cars from entering Mexico as this reduced new car sales. In Mexico, new car sales have dropped from 14 to 9 / 1000 people.

In a typical year 800,000 cars (referred to as chocolates) are entering Mexico illegally. It is suggested this is because the tax charged to nationalize is deemed too high so people bypass nationalizing. Since "chocolates" have no valid plates and registration they are sometimes used in criminal activities as they can not be traced.

Aduana's tax to nationalize is based on their list of used car values. It is suggested if the tax is reduced to import then fewer used cars will enter illegally and be nationalized. Meanwhile, thousands of cars are sitting in lots just across the border in the US at a cost of $5 a day per car. The used car dealers are lacking inventory and they too contribute greatly to Mexico's economy. Those used car importers are pushing back. It is estimated the used car sales by being reduced is costing Mexico $450,000,000 and the employment of 50,000 people directly and indirectly.

Reducing these "chocolates" will appease the auto manufacturers and used cars dealers. In summary, the issues are being resolved after many months of no nationalizing.

http://edicion24mexico.com/?p=642

Sonia

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So, the goal is to reduce nationalizing costs and then to reduce illegal vehicles.

On a related note, and as Spencer has reported, cars are being confiscated and large fines imposed. Please keep your vehicle legal. I also believe based on my contacts, when they finalize new fees for nationalizing, there will be a serious effort to reduce "chocolates" and illegal vehicles. Mexico is becoming a major force in car manufacturing These manufacturers and used car dealers are placing pressure on the state and Mexican governments to ensure cars in Mexico are legal.

800,000 "chocolates" per year represents a huge number of missed sales by manufacturers along with new and used car dealers.

I doubt the US would tolerate 2,400,000 illegal vehicles entering every year.

Sonia

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Here is another article dated Feb. 8 2015 regarding nationalizing. It states almost no cars have been nationalized since September. Not only are the Mexican used car dealers suffering from lack of quality used cars but also the large American used car auction dealers are suffering big time. The article states this violates NAFTA and pressure is being applied to US Congress.

I am told by clients as recent as today they have seen thousands of used cars in holding lots at Laredo. I also understand this is repeated at other border crossings where cars are normally nationalized.

Have a great weekend!
Sonia
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Here is another article dated Feb. 8 2015 regarding nationalizing. It states almost no cars have been nationalized since September. Not only are the Mexican used car dealers suffering from lack of quality used cars but also the large American used car auction dealers are suffering big time. The article states this violates NAFTA and pressure is being applied to US Congress.

I am told by clients as recent as today they have seen thousands of used cars in holding lots at Laredo. I also understand this is repeated at other border crossings where cars are normally nationalized.

http://www.oem.com.mx/lavozdelafrontera/notas/n3698842.htm#.VNfIPsn8Ci8.facebook

Have a great weekend!

Sonia

So how does this effect your campesino program for "virtually" nationalizing vehicles?
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First, the large number of chocolates certainly makes a joke out of all the hassle and expense the government lays on the few expats wanting to import and legalize their personal cars.

Secondly, this country has a 57 billion dollar trade surplus with the U.S. so it can certainly afford some auto imports.

Thirdly, maybe if car "dealers" in Mexico actually did some car dealing they might sell more cars.

For the most part, used cars here are very highly priced and a lot of them are near junk owing to being driven on bad roads and not being maintained properly NOB cars are going to have better pollution equipment and their suspensions and brakes won't be beat up nearly as much.

There are a lot of people who can't afford new cars. As usual, government is hurting those people, the little guys, the most.

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There is something about that process that seems a bit sideways. Maybe Sonia could expand a bit on how it is ethical as well as technically legal for a retired expat to use this program intended for campesinos. Those retired gringos sure aren't working in Mexico cultivating corn.

As for the chances in changes in official Mexican policy, I think that it's encouraging to hear that they just might "follow the money" to make it work better for all.

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So how does this effect your campesino program for "virtually" nationalizing vehicles?

You have a serious reading comprehension problem - or do you keep repeating this to annoy Sonia. You are certainly annoying me. THERE IS NO "VIRTUAL" CAMPESINO PROGRAM FOR NATIONALIZING VEHICLES. There never has been, never will be -Got it? There is/was/will be a virtual nationalization using a customs broker and a highly respected member of the "Campesino" organization acting as a facilitator, Sonia is a translator and knows the paper required. There is a "paper plate" program with the "Campesino" organization which is recognized by some States of Mexico. The organization is mainly a political force, involved in a wide range of activities. A political force which is politically aligned, in spirit at least, with the political left, and current government in power in Mexico.

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You have a serious reading comprehension problem - or do you keep repeating this to annoy Sonia. You are certainly annoying me. THERE IS NO "VIRTUAL" CAMPESINO PROGRAM FOR NATIONALIZING VEHICLES. There never has been, never will be -Got it? There is/was/will be a virtual nationalization using a customs broker and a highly respected member of the "Campesino" organization acting as a facilitator, Sonia is a translator and knows the paper required. There is a "paper plate" program with the "Campesino" organization which is recognized by some States of Mexico. The organization is mainly a political force, involved in a wide range of activities. A political force which is politically aligned, in spirit at least, with the political left, and current government in power in Mexico.

Gosh,I certainly wasn't trying to annoy you chillin,I was just asking a question,so why don't you just chill out, and the next time you post on the subject try to post something that makes sense.
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Gosh,I certainly wasn't trying to annoy you chillin,I was just asking a question,so why don't you just chill out, and the next time you post on the subject try to post something that makes sense.

I agree with Viajero. That was a smoke and mirrors post. Sonia is in business and apparently isn't having any legal problems with it. So be it. It's the intermediary process which sounds mighty sideways from here. Supposedly, the law states that a non-Mexican plated car owned by an expat can only get legal plates by taking it to the border and nationalizing it. There have been a number of local schemes to avoid doing that, and the problems are only recently coming to the fore with people losing mucho dinero as a result. Correct me if I have that one wrong, but back it up with facts, por favor.

I don't want to annoy anyone, but my question didn't get begin to be answered by Chillin's reply. How is it that these gringos can both ethically and legally manage to avoid the normal Mexican requirements for nationalizing their cars, or should we just say the "political force" referred to can be related to the "follow the money" principle and be done with it ?

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