VDA President Hildegard Müller: EU and Mexico deepen ties with MGA and iTA partnership

"Today’s vote by the European Parliament on the modernized Global Agreement (MGA) and the Interim Trade Agreement (iTA) with Mexico marks an important step for the European economy and, in particular, for Germany as an industrial hub. Around 70% of all jobs in our sector depend on exports. This is the foundation of our prosperity.

The modernization of the agreement also sends an important political signal at a time of rising trade tensions and protectionist trends worldwide. In doing so, Europe is committing to open markets, reliable partnerships, and rules-based trade. Particularly against the backdrop of uncertainty regarding the future shape of the USMCA agreement, the deepened economic cooperation between Europe and Mexico sends a vital signal for stability, diversification, and resilient transatlantic value chains. With today’s approval by the European Parliament, a major hurdle has been cleared. The priority now is to rapidly advance the subsequent procedures at both the European and national levels.

 Mexico is a key location for the German automotive industry. German automotive suppliers operate more than 330 facilities there. In addition, German automakers run their own plants, where around 638,000 passenger cars were produced in 2025. This made Mexico the most important production hub for German manufacturers in the Americas, ranking behind the USA but ahead of Brazil and Argentina. As a member of the USMCA free trade area, Mexico is also a major production base for vehicles sold in the USA and Canada. At the same time, the Mexican market offers further growth potential for German exports."