Mexico hybrid and electric vehicles

Mexico City ranks fifth among the most populated cities in the world with 21 million people and 33.4 million vehicles. Traffic and pollution levels have forced the Mexican government to look for alternative technologies to improve mobility in the city. Electric and hybrid,often zero emission vehicles have increased in sales to Mexican consumers. 

The Mexican government is concerned due to the significant increase of commuting times for citizens and higher levels of air pollution with 100-161 (MP2.5) caused by million vehicles that transit between Mexico City and the metropolitan area on a daily basis. 

The Mexico City Government has a strategic plan to improve mobility by replacing local transportation with zero emission vehicles. They plan to increase generation of electricity through clean energies from 25 to 35 percent by 2024. 

Mexican consumers receive government incentives such as exemption of local taxes and emission control verifications. In addition, rising prices for gasoline and pollution alerts that ban vehicles to transit have motivated sales of EV and hybrid vehicles in Mexico. These factors have increased the market for electric and hybrid vehicles. In 2018, Mexico reported a 68 percent growth in EV, and hybrid vehicle sales compared with 2017 reached over 17,800 units. Last 2019, electric and hybrid vehicles from January through September show a total of 955,393 units. 

Charging infrastructure plays a key role in the usage of electric vehicles and infrastructure for these vehicles is still under development in Mexico. In 2018 CFE, the energy regulator, invested three million dollars to install 100 charging stations but there is no further investment announced in the near future. 

Electrification, automation, sustainability and connectivity will be the future of mobility in the 21st century. Car manufacturers in Mexico and tier suppliers are preparing to serve the industry with technology for its production and potential aftermarket. Contact us to learn which opportunities wait for you!

For more information, please contact CS Mexico City at: Monica.Martinez@trade.gov