2020 PREVIEW: Mexican scrap market cautiously optimistic amid expectations of gradual economic recovery

Steel-consuming sectors in Mexico should receive a boost from a gradual recovery in the Mexican economy this year, with optimism among participants in the scrap market slowly growing as a result.

The country’s gross domestic product (GDP) is expected to grow by 1.2% in 2020, according to the International Monetary Fund (IMF), although more recent forecasts from economists have been lower.
“We forecast a 0.8% growth in Mexico’s GDP in 2020, which is a recovery from this year,” according to Carlos Alberto Gonzalez Tabares, head of analysis and stock exchange strategy at Mexican financial group Monex.

Monex expects Mexico’s GDP to be flat this year because the economy has been struggling with a recent change of government in early 2019 and the long negotiation of the United States-Mexico-Canada Agreement (USMCA). Both events contributed...

Published

Felipe Peroni

January 07, 2020

11:00 GMT

São Paulo