Intellectual Property, Foreign Trade and Technology Flows in Mexico’s Automotive Sector (1990-2022)

Abstract

NAFTA promised economic and technological improvement for the three nations involved. In Mexico,
it increased the value of automotive exports, which were the most valuable of all Mexican exports.
Meanwhile, the intellectual property provisions boosted patenting. To observe the productive and
technological effects of nafta on the automotive sector, the methodology uses a dendrogram
and component analysis based on export and import values, and the patents for different vehicle
parts (1990-2022). The findings suggest commercial and economic success. However, despite an
increase in the flow of patents from foreign companies, there has been no spillover or absorption
of knowledge by the domestic technological production sector. In summary, the intellectual property
arrangement contributed more to commercial growth than to endogenous technological development.