In Mexico, Old US Cars Find New Homes

[HoosierRon]

So rather than selling Mexicans new American cars, we are shipping them our junky leftovers and getting the pollution back.

In Mexico, old U.S. cars find new homes

While some Americans are congratulating themselves on switching to fuel-sipping cars, their old gas guzzlers just won't die. Lowered trade barriers are giving them new life south of the border.

Thousands of used vehicles from as far away as Colorado and Missouri jam tiny car lots and auto salvage yards in this gritty border city. An estimated 25,000 families make a living here hustling U.S. castoffs. Among them is Jose Zavala, a wiry used-car dealer with a trucker's cap and an eye for bargains.

At a recent auto auction in neighboring El Paso, Texas, he snagged a decrepit 1974 Ford Gran Torino that brought snickers from the crowd. But it's Zavala who may have the last laugh. He figures he can sell the wizened muscle car to some "Starsky & Hutch" wannabe in Juarez for at least four times the $100 that he paid for it.

"If it's cheap and it runs," it will find a home in Mexico, Zavala said.

That's precisely what is worrying environmentalists and new-car dealers, who say falling trade barriers are fueling an invasion of smoky junkers. More than 3 million late-model vehicles have rumbled legally south of the border in the last 2 1/2 years. Millions more are on the way, thanks to the North American Free Trade Agreement.

The vintage metal is rattling Mexico's retail car market. Sales of new vehicles have stalled at 1.1 million a year as used imports have overtaken them. Sales of new subcompacts -- the most popular class of cars in Mexico because of their price -- skidded 16.4% last year as buyers snapped up cheaper, roomier used vehicles from the U.S.

...

That could be bad news for the Big Three U.S. automakers, for which Mexico has been an important consumer of new vehicles.
...
"There's no glass window shielding the border," said Alma Leticia Figueroa Jimenez, the former head of ecology for Ciudad Juarez. "The U.S. sends us junk, and Mexico sends back pollution."

[likearock00]

That last sentence irks me. Mexico sends us ALOT more "junk" than we send them!

GM should lobby our worthless leaders to end NAFTA then......oh wait, they were all for it so they could screw the American people out of jobs!!

[AMERICA 123]

Originally Posted by HoosierRon

So rather than selling Mexicans new American cars, we are shipping them our junky leftovers and getting the pollution back.

In Mexico, old U.S. cars find new homes

True, although there's more to it than that - including helping to prop up our used car values - its a 'push' or a 'shift' rather than a net loser or gainer.

Since its probably helping new car sales a little bit here at the expense of new car sales there .........

[Smaart Aas Saabr]

Originally Posted by likearock00

That last sentence irks me. Mexico sends us ALOT more "junk" than we send them!

GM should lobby our worthless leaders to end NAFTA then......oh wait, they were all for it so they could screw the American people out of jobs!!

Why be against NAFTA? If the used cars in the USA go to Mexico GM can sell more new cars to Americans who typically buy more profitable cars than Mexicans anyway

I don't see where this is a bad thing...

[F14CRAZY]

Must be where my old Explorer went

[prowlerjc]

My old Civic Si ended up in Costa Rico back in 99.

[likearock00]

Originally Posted by Smaart Aas Saabr

Why be against NAFTA? If the used cars in the USA go to Mexico GM can sell more new cars to Americans who typically buy more profitable cars than Mexicans anyway

I don't see where this is a bad thing...

If you think NAFTA is good for the US, you have serious mental issues! Oh wait, you're a Canuck- nevermind.

[Ed753]

Ironically I was talking to a salesmen at the dealer just last night, about GMAC and how the typically subsidize the residual prices, to help move the cars, an make their money (on the finance charges). He stated, “they don’s lose as much as they used to anymore, they put reserves on them, if they don’t go, they ship them overseas, where nobody gets GMS”

First I ever heard of that ............ but sounds like a great idea!

[Ed753]

Originally Posted by likearock00

If you think NAFTA is good for the US, you have serious mental issues! Oh wait, you're a Canuck- nevermind.

Certainly you have your supporting data, and not just a kool-aid stained smile with an opinion....

Give them jobs down there; they buy our goods (cars) and one more fast-food job for your son or daughter……

[Dave B]

I really do not think this is anything new. Years ago when I was down there I noticed a lot of old American cars down there. Maby there is just more there now??

[genjy]

Japan sends its used cars all over the world.

We just don't/can't get these used Japanese cars street-legal here because we have strict emission and safety regulations that cars must adhere to.

[lio45]

Originally Posted by Dave B

I really do not think this is anything new. Years ago when I was down there I noticed a lot of old American cars down there. Maby there is just more there now??

How could you tell these "old American cars" weren't sold new in Mexico back when they were new? (in which case they'd be legimitate "Mexican" cars)

We're not talking about American-branded cars... we're talking about US-spec cars that were first sold in the US market and that are now sold south of the border (instead of being junked). These "old American cars" can be Toyotas, Hondas, and Nissans... many of them probably are, actually.

[F14CRAZY]

Too bad Australia doesn't send us their used cars. Commodores, Monaro's, Falcons, Utes...