Mexico. In an economic record between the months of January and June, only 1.6% increased the production of paints in the North American country, reaching 513.4 million liters generated, results that are obtained due to the effects of the rise of the dollar.
In the same period of the previous year, the growth obtained was 7.4%. Another fundamental index of this result is given by the low extraction of crude oil, which affects the generation of raw materials, which indicates that Mexico is a country that depends extensively on the import of inputs.
As reported by the local newspaper El Financiero, one of the companies affected by these events is the German BASF, which imports 95% of its inputs, and which has been affected by the current economic indices.
"There is enormous growth potential in Mexico, but the chemical industry remains stagnant for many years and we do not have enough inputs, which we must cover with imports. Now with the rising price of the dollar it is more difficult to produce in Mexico," Frank Hezel, Vice President of BASF Coatings in Mexico, told the local newspaper.
Companies in the sector are currently still looking for alternatives to avoid being affected by the dollar and not to reflect these increases in the final price of their products.
