MERCOSUR will strengthen mutually beneficial cooperation among members in the post-epidemic era, to achieve the goals of expanding export markets, consolidating industrial development, attracting foreign investment, creating employment opportunities, and revitalizing the economy.
Latin America not only has vast territory, rich natural resources, sufficient consumption capacity, and market potential but also has successfully promoted regional economic integration over the years. Latin American investment and trade opportunities should not be underestimated.
Latin America and the Caribbean (LAC) will resume economic growth in 2022, after contracting by 6.7% in all countries due to the effects of the pandemic last year. The recession caused by the epidemic will take years to recover from, and those living in poverty will continue to be the most affected.
There are many reasons for manufacturers to move their offshore or near-shore production bases to Mexico. The advantage of cheap labor is one of the most prominent.
In 2020, the United States relies on the growth of demand in its construction market, which will drive the woodworking machinery industry's revenue to increase significantly. Among them, the residential structure construction market is the main supporting factor for the income growth of the woodworking machinery industry. The beauty, durability, and environmental protection requirements of wooden materials have also become factors driving increased revenue.
The US-China trade war has hit the global market. Since the start of the trade war, the US has imposed tariffs on China in three waves, which has also brought out the benefits of transfer orders. Among them, Mexico has benefited the most. The proximity to the United States, tariff-free exports, and cheap labor are opportunities that companies have seen in Mexico in the past. But in the future, the US-Mexico-Canada trade treaty may weaken Mexico's cost advantage.
Africa is currently in a stage of explosive population growth. Currently, the entire African continent has a population of approximately 1 billion, and there will be 2 billion people by 2050. Compared with the fact that China’s surplus labor force is roughly exhausted, the African continent is a huge and attractive market for foreign investors.