Supervisors are accountable to the domestic depositors, creditors and policy holders and protecting the domestic financial system and therefore there may be justifiable reasons for requiring both capital and liquidity to be held locally, whether the presence is by way of a branch or subsidiary.
The automotive industry plays a vital role in our manufacturing sector, along with high-tech manufacturing such as communications and pharmaceuticals. And while we may be at different stages of our economic history, we are following a similar trajectory.