The AMDA president explained that the marketing of Chinese car brands represents 9.2% of total sales placed in the Mexican market until October 2024.
Sales of Chinese-made cars have lost momentum in the Mexican market, and despite the boom with which they entered to conquer the consumer, they are now showing stability, agreed Guillermo Rosales, president of the Mexican Association of Automobile Distributors (AMDA) and Erik Ramírez, director of Urban Science.
Rosales explained that the marketing of Chinese car brands represents 9.2% of total sales placed in the Mexican market until October 2024, by companies registered with Inegi.
Although he estimated that including Chinese brands that have not registered sales to Inegi, sales of cars from the dragon nation amount to 11.2% of total sales.
"If we add an estimate of the sales made by those brands that are not integrating information to Inegi, we consider two additional points, which would mean that we would be talking about an integrated participation of brands of Chinese origin in the order of 11% in the Mexican market compared to what was the point of greatest relevance," said the president of AMDA.
At a press conference, Guillermo Rosales said that so far in the history of participation in Mexico "there is a slight decline compared to 2023, we can say that the participation of Chinese brands is in a phase of stabilization."
In this regard, Erik Ramírez said that the "very rapid and dizzying entry of Chinese brands" was precisely at the time when we had an inventory crisis, where they did take advantage of the moment when there was a shortage in the market to move more product.
"We are reaching a stabilization, because all brands now have enough inventory and so obviously we no longer see a bias, but rather we see real competition and this may indicate a period of stabilization," said the director of the consulting firm Urban Science.
Both executives recalled that Chinese brands that have recently joined the competition in Mexico are subject to paying a 20% tariff as of October, imposed on member countries of the World Trade Organization (WTO) for the import of vehicles from countries with which Mexico does not have a trade preference agreement.
Chinese car sales quickly reached 8% of total sales in Mexico, with brands such as MG and Chirey, and GWM and Changan still growing.
Rosales stressed that the arrival of more brands has led to fierce competition between these same brands, which will be very interesting to see how it continues to develop.
As regards the obligation to provide information to Inegi, he said, it is not supported by any regulatory provision, it is an agreement of will, a subscription to a collaboration agreement that the shipyards make with Inegi, that is why from our position at AMDA, we insist on the need for those who do so in an environment of transparency in favor of consumers.
