By Teresa De Alba | Jr Journalist & Industry Analyst - Wed, 06/10/2026 - 16:07
Mexico’s automotive industry produced 1,642,083 light vehicles during the first five months of 2026, maintaining output levels from a year earlier, while exports and domestic sales continued to grow despite uncertainty surrounding North American trade policy and ongoing discussions on automotive tariffs between Mexico and the United States.
Data released by INEGI through the Administrative Registry of the Light Vehicle Automotive Industry (RAIAVL) showed that production from January to May declined just 0.09% compared with the same period in 2025. Over the same period, exports rose 4% to 1,388,236 units, while domestic sales increased 4.9% to 627,609 vehicles.
In May alone, automakers assembled 342,926 light vehicles, a decline of 3.7% year over year. The contraction followed stronger production earlier in the year and interrupted the upward trend observed during the first four months of 2026.
Despite lower production volumes, exports continued to rise. Mexican manufacturers shipped 306,288 vehicles abroad in May, up 1.7% year over year. This contributed to cumulative exports of 1,388,236 units during the January–May period.
The United States remained Mexico’s primary export destination, accounting for 75.4% of total shipments during the first five months of the year. North America as a whole represented 87.9% of total exports.
Although exports to the United States declined 3.2% compared with the same period in 2025, other markets posted strong growth. Exports to Canada rose 29%, while shipments to Germany increased 32.7%. Brazil recorded one of the strongest gains, surging 182%, while exports to Colombia expanded 43.7%.
Production Concentration Among Major Automakers
Production rankings for May highlighted the concentration of manufacturing activity among leading automakers in Mexico.
General Motors led output with 76,501 units assembled during the month, followed by Nissan with 46,573 units. Stellantis produced 46,441 vehicles, Ford Motor manufactured 36,346 units, and Volkswagen rounded out the top five with 30,922 units.
The same manufacturers also dominated export activity. General Motors exported 69,384 vehicles in May, maintaining its position as Mexico’s largest automotive exporter. Stellantis shipped 50,583 units abroad, followed by Ford with 35,578 vehicles, Nissan with 30,190 units, and Toyota with 28,125 units.
Domestic Market Maintains Growth Momentum
While exports remained a key driver, the domestic market also contributed to industry growth.
According to figures from the Mexican Automotive Dealers Association (AMDA) and the Mexican Automotive Industry Association (AMIA), new light-vehicle sales reached 127,100 units in May, up 4.9% compared with 121,100 units in May 2025.
The result marked the third consecutive month of growth in the Mexican market and brought cumulative sales for January–May to 627,609 units, also up 4.9% year over year.
Industry data showed a growing preference for domestically produced vehicles. Sales of Mexico-built vehicles increased 11.3% year over year, rising from 381,525 units to 424,666 units over the period.
In contrast, sales of imported vehicles declined 6.5%, falling from 216,994 to 202,950 units.
China continued expanding its presence in Mexico’s automotive market. Vehicles manufactured in China accounted for 22.8% of total sales during January–May. Including brands that do not report directly to INEGI, industry estimates place the share at approximately 28%.
Chinese brands collectively represented 11.4% of the light-vehicle market, with adjusted estimates suggesting a share closer to 17% when non-reporting manufacturers are included.
Segment Performance and Pricing Outlook
Market performance varied across vehicle segments. SUVs remained the largest category, accounting for 48% of total production with 787,709 units, although the segment declined 1.1% year over year.
Pickup trucks posted the strongest growth among major categories, reaching 523,414 units, an increase of 13.7%, and accounting for 31.9% of total output.
Other segments recorded declines: compact vehicles fell 16.1%, luxury vehicles dropped 19.8%, and subcompact models decreased 3.2%. Minivans grew 211%, although they represented only 0.1% of total volume.
Industry executives said pricing dynamics could become a key factor in the second half of the year.
During a joint conference organized by AMIA, INA and AMDA, AMDA Executive President Guillermo Rosales said vehicle prices have lagged inflation due to sustained promotional activity across the market.
“Vehicle prices have remained below inflation due to ongoing promotions and discounts that persist across the industry,” Rosales said. He added that the gap between inflation and vehicle pricing is expected to narrow in 2H26 as 2027 model-year vehicles enter the market and discounting strategies become less sustainable.
Rosales also noted that profitability across the distribution chain has come under pressure. “The profitability of distributors and manufacturers has decreased significantly. In the case of dealers, it has fallen by more than 30% on average,” he said.
He further warned that tariff increases could eventually affect vehicle prices. “Not in the same proportion as an increase from 20% to 50%, but to some extent. Industry conversations suggest potential impacts between 6% and 8% for vehicles subject to tariffs,” he said.
AMIA forecasts total light-vehicle sales of 1.55 million units in 2026 under official INEGI reporting, representing 2% annual growth. An adjusted forecast that includes non-reporting manufacturers projects sales of 1.68 million units, equivalent to 3.1% growth.
https://mexicobusiness.news/automotive/news/mexico-auto-output-hits-164-million-units-exports-rise-4
