VAM(Vehiculos Automotores Mexicanos)

Vehículos Automotores Mexicanos was established as its own company in 1963, after the Mexican Government passed a law to control the privately owned Sociedad Mexicana de Credito Industrial (SOMEX), the parent company of Willys Mexicana S.A. (which was established in 1946 as a local manufacturer and distributor for Willys-Overland Jeeps and used both the names VAM and Willys Mexicana on its products) that held the license to produce and import AMC Ramblers. Willys Mexicana was transformed into VAM in 1963 after an agreement between American Motors Corporation (AMC) and the Mexican Government. After the restructuring of the original company, VAM proceeded to the construction of its own engine plant located in the municipality of Lerma, Estado de México. At the same time, AMC took a 40% equity interest in VAM, but did not actively participate in the company's management. Government content regulations required VAM vehicles had to have at least 60% locally sourced parts.

AMC's stake in VAM passed into the hands of Renault in late 1980 when Renault assumed the majority (controlling) ownership of AMC. The last AMC based cars were produced in 1983, the same year the last two wheel drive cars were produced by AMC in the US. Beginning in 1984 the company produced several Renault models as VAM vehicles.

Financial problems during a collapse of the Mexican economy (recession and devaluation of the Mexican peso, beginning in 1982) forced the eventual sale of the Mexican government's interest in the company to Renault. The Mexican government actually paid Renault some US$200 million to take over VAM and assume its debts in 1987. Renault then closed VAM down.

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