The Mexican automotive industry is going through a decisive moment. In the discussion “Accelerating the Automotive Industry: Challenges and Opportunities ,” organized by Mundi , industry leaders analyzed the effects of the current situation, the revision of the United States-Mexico-Canada Agreement (USMCA) , and the challenges that the transition to electromobility will bring.
Gabriel Padilla Maya, general director of the National Auto Parts Industry (INA) , emphasized that Mexico remains the world’s fourth-largest producer of auto parts , behind only China, the United States, and Japan.
Since the USMCA came into force in 2020, he said the country has consolidated a model of advanced manufacturing and regional integration that now supplies 43% of the parts and components the United States requires to manufacture vehicles.
However, he acknowledged that the industry is facing a “setback,” reflected in the 7% to 8% drop in performance in the first half of 2024 compared to 2023.
The expectation, he added, “is to resume growth after the treaty review in 2026, with an expansion horizon starting in 2027, provided Mexico manages to strengthen its supply chain and integrate more small and medium-sized enterprises (SMEs) as Tier 1, 2, and 3 suppliers.”
From the National Chamber of the Transformation Industry (Canacintra) in Querétaro, Daniel Romero agreed that electromobility is one of the biggest challenges.
He noted that, in addition to charging infrastructure, the country must develop its supply chain for batteries and critical materials such as lithium, cobalt, and nickel. He warned that the USMCA will impose pressures to increase competitiveness compared to Asia and Europe, and emphasized that logistics and security costs remain a challenge for attracting new investment.
For her part, Elisa Crespo, executive president of the Metropolitan Automotive Cluster (CLAUT) , highlighted the sector’s resilience during the COVID-19 pandemic and in the face of recent disruptions.
He mentioned that more than 50% of companies implemented technical shutdowns in 2024, in coordination with unions, which helped preserve jobs. He also emphasized “the need to strengthen training and continuing education as key instruments to attract investment and maintain competitiveness.”
The analysis also included the views of Guillermo Bernal, a representative of the American Chamber of Commerce (AmCham) , who stated that the USMCA “is more alive than ever” and that the current review should be viewed as an opportunity to modernize the treaty.
He emphasized that the private sector must speak with one voice, strengthen regional integration , and ensure that competitiveness vis-à-vis Asia is maintained through clear rules of origin and greater use of the North American market.
Participants agreed that the negotiation of tariffs with the United States and the definition of rules of origin will be crucial for the immediate future.
At the same time, they emphasized that the Mexican industry must invest in technological innovation , digitalization, and the development of specialized talent to consolidate its position as the region’s automotive hub .
The discussion made it clear that uncertainty will continue to plague the industry, but also that Mexico has a solid foundation to turn challenges into a platform for opportunities.
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