Mexico’s struggling economy is starting to affect the automotive sector, traditionally one of the country’s strongest areas.
Auto production slipped by 4.1 percent to 3,750,841 units in 2019, according to the National Statistics Agency (INEGI). Exports also fell by 3.8 percent, marking the first annual fall in a decade.
The stagnant economy also hit new car sales in Jalisco, which plummeted by 10.4 percent between January and November, significantly higher than the national average of 7.7 percent. Sales totalled 87,201 units, compared with 97,365 in 2018.
Industry representatives suggest the panorama for 2020 is equally bleak. Guillermo Rosales, general director of the Association of Mexican Automobile Dealerships, said he expected an additional decrease in vehicle sales of around two percent over the coming 12 months.
As in recent years, Nissan leads the pack in domestic sales, with a market share of 20.3 percent, followed by General Motors (16.1 percent), Volkswagen (13.8 percent), Toyota (8 percent), Kia (7.3 percent) and Honda (5.5 percent).