On the Dash:
- GM is localizing production in Mexico as regional manufacturing strategies continue shifting under global trade pressures.
- Strong Aveo demand highlights continued consumer appetite for affordable entry-level vehicles in key international markets.
- Ramos Arizpe remains central to GM’s North American manufacturing strategy despite recent workforce reductions.
General Motors plans to begin assembling the Chevrolet Groove and Aveo in Mexico in 2027 as the automaker expands local production in one of its strongest international markets while continuing to source parts from China.
The project is part of GM’s previously announced $1 billion investment in Mexico and was unveiled during an event attended by Mexican President Claudia Sheinbaum.
GM plans to build the vehicles at its Ramos Arizpe plant, where it aims to produce 80,000 annually by 2030. The automaker previously exported the Groove and Aveo from China to Mexico before deciding to shift assembly closer to the local market.
Notably, the Chevrolet Aveo remains one of Mexico’s top-selling vehicles and GM’s best-selling passenger car in the country. Additionally, GM sold more than 60,000 Aveos in Mexico during 2025, and sales are currently on pace to reach another annual record.
Currently, GM produces EVs at the Ramos Arizpe facility. Earlier this year, the company laid off 1,900 workers at the plant, citing weaker-than-expected EV demand in the United States.
The automaker also announced last year that it would move production of the gas-powered Chevrolet Blazer from Ramos Arizpe to a U.S. manufacturing plant.
