Mexico’s automotive exports grow 1.6%

Mexico’s automotive exports to the world grew 1.6% in the first quarter of 2020, to $ 36,664 million, according to data from Banco de México.

Within these sales, those directed to the United States, for 30,467 million, increased 2%; while those shipped to the rest of the world, for 6,198 million, fell 0.7%, at annual rates.

There are currently 11 manufacturers in Mexico, including General Motors, FCA (Fiat Chrysler), Ford, Nissan, Honda, Toyota, VW, Mazda, Kia, and Audi. This manufacturing base produces 42 brands and 500 models in 23 plants and has a network of 1,800 dealers.

Automotive exports from Mexico to the world have climbed from $ 28,242 million in 2015.

Globally, last year Mexico ranked 11th among the largest exporting economies, with 461,000 million dollars, and 12th position among the largest importing economies, with 467,000 million dollars, according to data from the Organization World Trade (WTO).

Automotive exports and markets

The automotive components and technology industry provides components, systems, subsystems and modules to Original Equipment Manufacturers (OEMs) for the manufacture of new vehicles, as well as to the aftermarket for use as spare parts. for current production and older vehicles.

In general, companies like Aptiv expect long-term growth in global vehicle sales and production in the OEM market.

In 2019, the industry experienced a decline in global customer sales and production schedules.

Compared to 2018, vehicle production in 2019 decreased 4% in both North America and Europe and also fell 4% in South America.

Additionally, increased market volatility and economic uncertainty in China have resulted in a 9% decrease in vehicle production in 2019, which follows a 4% decrease in the region in 2018.

The demand for automotive components in the OEM market is generally a function of the number of new vehicles produced in response to consumer demand, which is mainly due to macroeconomic factors such as credit availability, interest rates, fuel prices, consumer confidence, employment and other trends.

Particularly for Mexico, automotive exports have maintained a growing trend in recent years, driven by new vehicle assembly plants.