Analysis: Exports, stimulus throw lifeline to Mexico's battered economy

A general view shows the facade of the new plant of German company Continental, one of the world's largest automotive suppliers, in Aguascalientes, Mexico March 4, 2021. Picture taken March 4, 2021. REUTERS/Fernando Carranza

AGUASCALIENTES, Mexico (Reuters) - In an arid valley in central Mexico, one of the world's largest automotive suppliers is preparing to open a new plant to produce components for North America, underpinning the export business that has kept the country's struggling economy ticking over.

The new Continental AG plant in Aguascalientes state should benefit from the new United States-Mexico-Canada (USMCA) trade deal and U.S. President Joe Biden's $1.9 trillion stimulus plan to revive growth after the coronavirus pandemic.