Overview of the Light Vehicle Sales in Mexico
The sales of light vehicles in Mexico saw a marginal growth of 0.3% in September 2024 compared to the same month in 2024, with 117,182 units sold. This improvement allowed the automotive industry to catch its breath after five consecutive months of decline, according to the National Institute of Statistics and Geography (Inegi).
Key Players in September’s Improvement
Promotions, discounts, and attractive financing options with lower interest rates launched by companies during September played a crucial role in this improvement, particularly benefiting brands like Kia, Nissan, Renault, and Changan.
Comparative Analysis
However, September’s momentum was lower than July and August, when the industry surpassed 124,000 units. This trend indicates a stagnation in the light vehicle commercialization.
The September light vehicle market fell short of the Association of Mexican Distributors of Automobiles (AMDA) estimation, which stood at 118,462 units. The difference between the estimated and observed data was 1.1%.
Despite being higher than September 2019’s sales, which totaled 100,757 units, the industry still fails to match the record-breaking sales data from 2016 and 2017.
According to Inegi’s report on sales from January to September, 1,751,888 new light vehicles were sold in Mexico, marking a 0.6% decrease compared to the same period in 2024.
Challenges Facing the Mexican Automotive Market
The negative trend has been influenced by brands such as Chirey and Jetour, which do not report their sales to Inegi, along with reduced sales from volume automakers like General Motors, Stellantis, Honda, and Volkswagen.
Chinese brands have experienced ups and downs; some, like Changan, Motornation, and Great Wall Motor, remain popular among Mexican consumers with triple-digit sales growth. Meanwhile, MG has faced significant setbacks.
AMDA President’s Perspective
Guillermo Rosales, president of the AMDA, highlighted that the Mexican automotive market faces global tariff uncertainty and a decrease in consumer confidence regarding Mexico’s low economic growth prospects.
Key Questions and Answers
- Q: What was the growth rate of light vehicle sales in September 2024 compared to the same month in 2024? A: Sales grew by 0.3%.
- Q: Which brands benefited from September’s sales improvement? A: Kia, Nissan, Renault, and Changan experienced growth.
- Q: How did September’s sales compare to AMDA’s estimation? A: Actual sales were 1.1% lower than AMDA’s estimation.
- Q: How do current sales figures compare to 2019 and 2016-2017? A: While higher than 2019, current sales are still below the record-breaking figures from 2016 and 2017.
- Q: What challenges is the Mexican automotive market facing? A: The market faces global tariff uncertainty and decreased consumer confidence due to low economic growth prospects.
