Tariffs on Mexican automotive exports paid at U.S. customs have impacted Mexican exports in this sector.

In March 2026, these foreign sales grew at a year-over-year rate of 2%, reaching $17.361 billion.

However, in the first quarter of this year, this indicator fell by 2.9%, dropping to $42.348 billion.

Tariffs on Mexican Automotive Exports

“The slow growth in automotive exports is due to the sector-specific tariffs imposed by the United States on imports from this industry,” said Gabriela Siller and Jesús Anacarsis López, analysts at Banco Base. 

In the first quarter, 83.36% of Mexico’s non-oil exports went to the United States. Automotive exports fell 8.8% year-over-year. Meanwhile, the rest of non-oil exports grew 30.5%. 

“It is clear that the decline in total automotive exports during the first quarter was specifically due to trade with the United States and sector-specific tariffs,” added Siller and López.

A car manufactured in the United States may contain thousands of parts sourced from different U.S. states and various Mexican locations. The final assembly location may have little to do with the origin of its components.

Due to the agreement’s rules of origin framework, trade has been conducted under the USMCA. This allows Mexican supplier industries to export an auto part across the border (up to 12 times) until it is ready to be incorporated into the final product.

The decline in Mexican automotive exports to the United States in the first quarter contrasts with the 38.40% growth in these exports to the rest of the world. 

Outlook

According to Banco Base analysts, this downturn is likely to persist. This could occur if an agreement is not reached to moderate tariffs on the automotive sector under the USMCA. 

According to February data, exports of passenger cars to the United States (heading 8703) were subject to a 13.99% tariff. The decline in automotive exports affects the rest of the manufacturing sector, as it reduces demand for inputs and complementary products. 

In 2025, Mexico’s global automotive exports totaled $168.418 billion.