Publication Category: MexicanAutomotive


Automotive Statistics

  July 2016 witnessed the sale of 131,764 light vehicles in Mexico, which is 17.9% higher than in July 2015. Mexican light vehicle production in 2016 totaled 284,398 units, representing a record high for the month of July. Mexican light vehicle exports totaled 225,530 in July 2016, just 0.4% lower than the same month in 2015. Light vehicle sales in the United States rose to 10,106,595 units in July 2016, up 1.1% from July 2015. January – July 2016 Mexican light vehicle sales numbered 853,620 units, which is 18.3% higher than the same period in 2015. For the January – July 2016 time period, 44% of vehicles manufactured in Mexico were sold in the Mexican domestic market, while the remaining … read more


Ocean Shipping Vital for the Mexican Automotive Industry

During the first half of 2016, 7.4% of Mexican vehicle exports traveled via ocean shipping from Mexican Gulf Coast-Caribbean ports. The remaining 22.6% were exported from Mexico’s Pacific ports. As for vehicle imports, 59.2% entered Mexico from Gulf Coast- Caribbean ports. Fully 80% of vehicles manufactured in Mexico were sold abroad, while 54% of vehicles sold in Mexico’s domestic auto market were manufactured outside of Mexico. Veracruz is the number one automotive port in Mexico for automotive manufacturers.  During the January-July 2016 period, 370,855 vehicles passed through the port of Veracruz.  Such figure represents 63.4% of all exports being shipped via ocean carrier. The ports of Lazaro Cardenas with 22.4%, and Altamira with 5.4%, also played a significant role in … read more


Mexico Releases Light Vehicle Sales Figures

The two principle Mexican automotive trade groups, the Mexican Automotive Industry Association (AMIA) and the Mexican Automobile Dealers Association (AMDA) recently released their latest report showing that 134,043 light vehicles were sold in Mexico during August, 2016, which represented a 19.6% increase in vehicle sales during August 2015. Market share by manufacturer can be broken down as follows: Mazda 3.4%, Hyundai 2.3%, Kia 3.4%, Honda 5.5%, Ford 6.2%, Fiat/Chrysler, 6.3%, Toyota 6.4%, Volkswagen 16.3%. General Motors 18.7%, Nissan 25.0%, with all others totaling 6.4%.


The Most Expensive Automobiles in Mexico

Insuring one’s automobile is not just a good idea to protect the investment in such vehicle, but is also legally required under applicable Mexican laws governing automobile coverage for various types of risks.  Based on research by Insured.com, below are the findings detailing the most expensive automobiles to insure in the United States. The hypothetical insured party is a single person, 40 years of age, with relatively high income and a good driving record. Insurance coverage for a 12-month period providing $100,000 of civil liability coverage, $300,000 for personal injury coverage, and $50,000 for material damages in case of an accident are as follows:   BMW Li ActiveHybrid: $2,641 Mercedes Benz CL65 AMG Coupé: $2,669 Porsche 911 Turbo S Convertible: … read more


Nissan Announces New Crossover in Mexico in Rio Summer Olympic Games

Nissan has introduced its newest crossover, manufactured at its Aguascalientes, Mexico plant, which is now available to Mexican consumers. This model, known as “Kicks”, represents an investment of $150 million, which created 50 new jobs and required 14 separate automotive suppliers to contribute to its production. The new light crossover vehicle is manufactured with 90% Mexican parts content, making it the highest domestic content vehicle of any automobile produced in Mexico. The new model debuted officially at the Rio 2016 Olympics. It is designed to compete with models such as the Chevrolet Trax, Honda HR-V, Mazda CX3, Peugeot 2008, Suzuki S-Cross, Ford Ecosport, Renault Duster and Hyundai Creta. The vehicle is designed to adapt well to driving in Mexican cities, … read more


Mexican Drivers Not Pleased with Increases in Gasoline Prices

Mexican motorists are unhappy with recent gasoline price increases which began in September. Such prices have reached new highs in both gasoline and diesel fuel. Magna now costs 13.98 pesos per liter, while premium gasoline costs 14.81 pesos and diesel has increased to 14.45 pesos per liter. However, according to organizations such as Global Petrol Prices, and in the wake of announced gas price increases in Mexico, Mexico continues to be one of the six most economical countries in Latin America to purchase gasoline and diesel fuel. Even so, the Mexican press has reported the gas increases in light of Mexico’s minimum wage, which continues to be among the lowest in Latin America. The increase in gas prices was bad … read more


Grupo Simec to Invest $600 Million in the State of Tlaxcala

Mexican Steel producer Simec recently announced an investment of $600 million in a facility in the state of Tlaxcala. Steel produced there will be utilized in the Mexican automotive industry and is based on the relative scarcity of this vital raw material in Mexico. Simec will develop its steel production to supply automakers in the state of Puebla, as well as other manufacturers located throughout the Mexican republic. Such new production source will decrease the need for importing automotive steel and will strengthen the Mexican automotive industry generally. ********* Legal notice and sources: Mexican Automotive is an informational document for the public at large prepared by the law firm of Cacheaux, Cavazos & Newton (www.ccn-law.com) and should not be considered … read more


Automotive Statistics

In March 2016, 116,863 light vehicles were sold in Mexico, which is 11.4% more than during March of 2015. Mexican light vehicle production in March 2016 reached 266,960 units, representing a slight 11% decrease from March of last year. Mexican light vehicle exports totaled 224,184 during the month of March 2016, which is 14.2% lower than the same month last year. U.S. light vehicle sales reached 4,062,321 units in March 2016, representing a 3.1% rise over the previous March. 347,326 light vehicles were sold in Mexico during the first quarter of 2016, which is 13.4% higher than the number of units sold during the first quarter of 2015. In the first quarter of 2016, 44% of total Mexican vehicle production … read more


Mexico Becomes Seventh Largest Automotive Manufacturer in the World

In reviewing world vehicle production for 2015, Mexico has reached seventh place in the country rankings. Mexico has also become the largest vehicle producer in Latin America. The worldwide rankings are as follows:  1. China, 2. United States, 3. Japan, 4. Germany, 5. Korea,  6. India, 7. Mexico, 8. Spain, 9. Brazil and 10. Canada. Mexico’s share of overall worldwide production stood at 3.9%. It is foreseeable that Mexico will not only maintain its position but, may potentially improve its ranking and the amount of automotive investment it receives in the coming years.


How Long Will Mexico’s Automotive Industry Boom Last?

Among all the economic sectors in Mexico, recent years have seen the automotive industry carry itself to greater heights in domestic sales, exports, foreign investment, increases in infrastructure, installed capacity, new job creation and global prestige. The question now is whether this trend will always continue or, as has occurred in other economic cycles, such tendency will be followed by a deceleration in growth. Forbes Mexico recently published an article responding to these questions. According to Forbes Mexico, recent new automotive final assembly plant production in Mexico could signal a prolonged period of success for the Mexican automotive cluster. Competitive labor costs as compared to the rest of the world and greater market demand in the United States could provide … read more