A new treaty between the European Union and Mexico gives automakers a better starting point to decide on direct investment in Mexico, say car manufacturers. The EU's recent approval of a free-trade agreement with Mexico means European automakers are now on the same competitive level as U.S. automakers, which have the North American Free Trade Agreement (NAFTA), says a spokesman for Volkswagen AG. “This treaty was looking to level the competitive conditions again,” he says. Last week ...

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