Mexico’s light-vehicle exports rose 11.4% in April to 286,317 units, driven by market diversification strategies adopted by automakers facing tariff pressure from the United States. Data published by INEGI and industry representatives show the increase helped stabilize production and sustain external demand despite trade uncertainty affecting North American manufacturing flows.

The export result positioned April 2026 as the third-best April since records began in 2005, surpassed only by 2024 and the peak year of 2019, when exports reached 288,756 units, according to the Mexican Automotive Industry Association (AMIA). Vehicle production rose 2.1% year over year to 329,878 units, confirming that foreign demand continues to guide operational planning across assembly plants in Mexico.

Rogelio Garza, president, AMIA, said automakers expanded their commercial reach as part of an industry response to tariff pressures. “The industry has found oxygen in other international markets showing triple-digit growth rates,” Garza said, describing diversification as an aggressive strategy implemented by manufacturers operating in Mexico to sustain export momentum.

Shipments to the United States increased 11.3% to 219,097 units, representing 76.5% of total exports. Deliveries to Canada grew 20.7% to 36,444 units. Strong expansion was also recorded in emerging destinations, including Brazil, where exports rose 164.6%, Colombia, where they increased 9.6%, and Poland, which registered a 455% jump.

Despite diversification efforts, Mexico continues to hold a dominant position in the US automotive supply chain. Adriana Ramírez, director of economic studies, AMIA, said, “One out of every five vehicles sold in the US market is of Mexican origin,” emphasizing the depth of regional production integration and the importance of cross-border manufacturing networks

Production Trends and Company Performance

External demand reinforced manufacturing activity during April, making the month the second-strongest April on record for production, exceeded only by 2024 output of 358,597 units. Industry performance varied among manufacturers, reflecting adjustments in product mix, logistics strategies, and tariff exposure affecting individual export programs.

Stellantis reported a 108.6% increase in production at its Mexican facilities, while BMW recorded growth of 72.6%, supported by export demand. In contrast, Nissan reduced output by 31% during April. Mazda reported a 34.6% decline, which industry analysts linked to tariff-related impacts on selected vehicle programs.

During the January–April period, production reached 1,299,157 vehicles, a 0.9% increase compared with the same period in 2025 and the second-highest result for the period, behind only 2019. Exports totaled 1,081,948 units, up 4.7% year over year, making the first four months of 2026 the fourth-strongest start for Mexico’s automotive export sector.

Garza said diversification complements rather than replaces North American trade. Expanding into new markets allows automakers to mitigate volatility associated with trade measures while preserving plant utilization and employment levels. Industry officials view diversification as a risk-management strategy rather than a structural shift away from regional integration.

Mexico’s automotive industry closed 2025 with exports totaling 3,385,785 vehicles, representing a 2.6% decline compared with 2024, according to INEGI data. Analysts at Grupo Financiero Monex said the sector experienced slow and uneven performance, reflecting pressure on production capacity, weaker domestic and international demand, and declining confidence indicators among businesses and consumers.

Monex analysts stated that light-vehicle sales showed moderate growth but failed to offset weaker production and export results. The institution warned that risks remain for the first half of 2026, including trade policy uncertainty and investment caution across manufacturing supply chains tied to automotive production.

USMCA Review and Tariff Negotiations Shape Outlook

At the end of April, Mexican officials and industry representatives initiated discussions with the Office of the United States Trade Representative as part of the review process for the United States-Mexico-Canada Agreement (USMCA). The talks prioritized sectors facing the greatest tariff pressure, particularly automotive and steel manufacturing.

Jamieson Greer, United States Trade Representative, met with Mexican government officials and industry leaders to address tariff measures introduced in 2025 under Section 232. Those measures, imposed by President Donald Trump, include a 25% tariff on imported vehicles that was later extended to auto parts.

The tariffs are justified by US authorities on national security grounds related to industrial capacity. Vehicles meeting USMCA rules of origin may qualify for exemptions, while noncompliant vehicles face tariffs calculated on total vehicle value, with deductions allowed for US-produced content. Industry representatives say these rules have already influenced export strategies and production allocation decisions.

Marcelo Ebrard, Mexico’s Minister of Economy, said the review process “is progressing well” and confirmed that formal negotiations with the United States are expected to begin the week of May 25. He said meetings included participation from representatives of the automotive, steel, and agricultural sectors, who presented concerns related to tariffs, market access, and supply-chain continuity.

Ebrard added that Mexican and US companies agreed on the need to reduce commercial uncertainty and deepen regional integration, particularly to substitute imports from Asia with North American production.