Innovation and technology are part of the current tools that allow for making appropriate and efficient decisions to face disruptions that may arise when carrying out vehicle logistics, according to industry specialists.

Sergio Gutiérrez, Director of Operations at Glovis America , indicated that technology is important because it allows for predictability and solutions to anticipate issues such as congestion, lack of capacity, and others.

“If we don’t have this, we’re not in the game. Today we’re worried about how much we’re going to invest in technology, but now the challenge is whether that will be a driver for an impact on work, whether it will reduce the presence of humans in decision-making. What we see is that it’s meant to make better, faster decisions, not to replace jobs,” he said.

In the panel “Adapt to Change: Increased Flexibility in Vehicle Logistics” held within the framework of Automotive Logistics & Supply Chain, Carlos Augusto Eudave, head of Logistics at Chirey Mexico, explained that technology will be in the processes and only Artificial Intelligence will be integrated into the system.

“We use Artificial Intelligence in the process in China, and that is helping us to be faster in the face of fluctuations in production. We are looking at what the next steps are in synchronizing logistics processes,” he said.

He reiterated that the use of this tool provides a solution; however, the final decision will be made by a human. He also commented that flexibility must consider the impact on quality and cost, and adapt processes as much as possible.

Similarly, he mentioned that through innovation they are aware of market trends in each of their distribution centers regarding models or colors, “we analyze and place the order with China and that is what we are going to sell in that region of the country, with this we are reducing costs.”

Bernardo Múzquiz Pezino ( a member of the 21 T21 Young Leaders in 2020 ), Director of Logistics for Finished Vehicles at General Motors of Mexico , highlighted that the country is one of the main exporters of vehicles, while the company is the third largest, so “we have to be efficient in how we make decisions in our export strategy, otherwise we wouldn’t meet our monthly goals.”

“GM doesn’t want to adapt but to create change, and we invite our partners to work together towards innovation so that we can achieve this by next year,” he said.

Antonio Zepeda Torres, Commercial Director of the CSI Group , said that they provide these types of tools for decision-making and analyzing information to anticipate disruptions.

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Sales of light vehicles in Mexico reached 127,684 units last August, which represents an increase of 11.9% compared to the same month of the previous year and, in turn, is placed as the best month of sales in the year and the best August since 2016 , according to data from the Administrative Registry of the Light Vehicle Automotive Industry (RAIAVL) of the National Institute of Statistics and Geography (Inegi) .

Inegi also reported that during the first eight months of the year, vehicle sales reached almost one million units, with 962,870, a figure that represents an increase of 12.2% compared to what was reported during the same period in 2023.

Given these results, the CEO of the Mexican Association of Automobile Distributors (AMDA) , Guillermo Rosales, said that “with these figures, the light vehicle market in August was higher than AMDA estimated, which stood at 120,459 units. The estimate had a percentage difference of -5.7%.”

In this same context, the report of the Mexican Association of the Automotive Industry (AMIA) and the AMDA revealed that the most prominent brands in the year-to-date are Nissan , with 17.1% of the market, followed by General Motors with 14.0% and Volkswagen with 11.7 percent.

Likewise, some brands such as Mazda and Toyota showed significant increases in their annual sales, with growth of more than 30% in both cases.

In addition, the report highlighted the performance of Chinese brands , which continue to gain ground in the Mexican market . An example is MG Motor , which managed to maintain its share with a slight increase in sales, registering more than five thousand units sold in August 2024, which represents an increase of 0.5% compared to the same month of the previous year.

On the other hand, the Chinese brand Chirey also experienced a significant drop in sales. In August 2024, this brand reported a decrease of 41.4% compared to August last year, selling just over two thousand units.

Thus, so far this year, Chirey has sold 18,813 units , a decrease of 28.1% compared to the same period in 2023. This drop could be linked to strong competition from other brands and changes in the preference of the Mexican consumer.

Despite these challenges, Chinese brands remain important players in the light vehicle market in Mexico, driven by phenomena such as nearshoring . Their ability to adapt to new market conditions and the growing demand for affordable vehicles  allows them to maintain a competitive position.

As nearshoring continues to consolidate itself as a trend, these new brands will continue to expand their presence and participation in the country.

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