The three categories of policy instruments include regulatory, economic, and other instruments such as voluntary agreements. Catalytic converters, for example, initially relied on imports. Foreign direct investment measures were used to establish local manufacturing. A policy consideration is that these technologies have high US export potential to countries like Mexico. The final part of Chiz's presentation addressed the Mexican automobile sector, which is very important for their local economy.
Mexican firms focus more on trucks and other heavy equipment.
Foreign auto companies have been in Mexico since the 1920s. Many policies have been designed to build competitiveness in production technologies, etc. Anas Benbarka began his presentation by identifying reasons to target in-use vehicles. There is slow vehicle turnover in Mexico, and progressive deterioration of the engine and parts leads to many high emitters on the road. Anas showed the breakdowns by fleet composition, trips, and emissions.