The steel and automotive industries, two links in the same process: the transnationalization of production

Abstract

This paper documents the importance of the steel and automotive industries for the Mexican economy, and how our country is part of the most prominent productive links in them worldwide: in the case of the automotive industry, as it is a destination of interest for the main assemblers, in addition to the growing expansion of auto parts manufacturing companies; in the steel industry, as it is also one of the world’s leading destinations, and is on the list of the largest steel producers and exporters.

The objective of this work is to document the link between transnational capital and the aforementioned industries, and its effects on national economic dynamics, in order to demonstrate that current capitalism is much more than the set of national economies, more than the sum of the parties, since the new productive organization is based on mechanisms that alter the circuit of capital from its nucleus. In other words, even though the representation D-M-PT-M´-D´ is still in force, nowadays there are important changes in the transformation process (TP), as due to the conformation of the world market this valuation process appears increasingly decentralized and globally dispersed, representing a new phase of the capital-labor relationship.