On the Dash:
- Mexico’s auto industry built 1.64 million vehicles through May, nearly flat with a year ago.
- Exports rose 4% to 1.39 million units, with the U.S. taking 75% of total shipments.
- Chinese-made vehicles captured nearly 28% of Mexico’s market through May.
Mexico’s auto industry built 1.64 million light vehicles in the first five months of 2026, nearly matching the pace set a year earlier, according to a report by Mexico Business News. The increase in exports comes as trade policy uncertainty continues to hang over the North American market.
Data from Mexico’s National Institute of Statistics and Geography showed production fell just 0.09% compared with the same period in 2025. Exports rose 4% to 1.39 million units while domestic sales climbed 4.9% to 627,609 vehicles.
The U.S. took in 75.4% of Mexico’s total exports during the period, with North America as a whole accounting for 87.9%. Shipments to the U.S. dipped 3.2% year over year, but exports to Canada jumped 29% and Germany rose 32.7%.
General Motors (GM) led production in May with 76,501 units assembled, followed by Nissan, Stellantis, Ford, and Volkswagen. GM also topped the export rankings, shipping 69,384 vehicles abroad during the month.
New-vehicle sales in Mexico rose 4.9% in May to 127,100 units, marking the third straight month of growth. Sales of Mexico-built vehicles climbed 11.3% for the January–May period, while imports fell 6.5%.
Notably, Chinese-manufactured vehicles continued to gain ground, accounting for 22.8% of total sales through May. Industry estimates that include non-reporting manufacturers put that share closer to 28%. Pickup trucks were the standout segment, rising 13.7% to 523,414 units and representing nearly a third of total output. SUVs remained the largest category at 48% of production, though the segment slipped 1.1%.
The numbers come as U.S. and Mexican officials continue hammering out revisions to the United States-Mexico-Canada Agreement (USMCA). A recent U.S. proposal would raise North American content requirements to 82%, with half of that value produced in the U.S. That threshold could force significant changes to how automakers source parts across the region.
Industry discussions in Mexico indicate potential price increases of 6% to 8% for vehicles subject to new duties. U.S. dealers have already felt similar pressure, as CBT News reported in February, rising import duties were already forcing some brands to reconsider pricing strategies heading into 2026.
The Mexican Automotive Industry Association projects full-year light-vehicle sales of 1.55 million units in 2026, a 2% increase over 2025.
