Lower-than-expected tourist arrivals for the 2026 FIFA World Cup have left Mexico’s automotive leasing sector with car rental occupancy rates falling 12 to 15% below original industry projections, according to the Mexican Association of Vehicle Leasing Companies (AMAVe). While the global sporting event failed to generate the anticipated fleet utilization rate of 75% to 80%, the sector experienced a shifting market dynamic in 1Q26, marked by a 65.2% surge in hybrid and electric vehicle acquisitions alongside a broader contraction in traditional fleet purchases. 

Data released by AMAVe and the Mexican Association of Automobile Distributors (AMDA) showed that actual fleet occupancy reached only 63%, despite preparation efforts that began last year.

“The economic impact of the World Cup has been positive, but very heterogeneous and not at the level we expected,” said Liliana Anaya, general director, AMAVe, during a press conference. “Occupancy rates reached 63%, compared with the 75% to 80% we had projected. We hope to see a rebound because demand has varied significantly by location. Activity has been somewhat stronger in Mexico City, but the level of tourism we anticipated in destinations such as Cancún simply did not materialize.”

The weaker rental demand coincided with a broader slowdown in fleet acquisitions during the first quarter. Of the 381,653 new light vehicles sold nationwide, leasing companies purchased 13,842 units, representing a 16.3% decline from the same period last year.

In the heavy vehicle segment, total market sales reached 7,277 units, of which AMAVe members acquired 602, a year-over-year decline of 49.9%. Those purchases included 394 cargo vehicles, 170 tractor-trucks, and 38 passenger transport units.

Industry leaders attributed the slowdown to market normalization following an exceptionally strong 2025, combined with greater caution in corporate investment decisions.

“This performance should be viewed in the context of normalization after a particularly dynamic 2025 for the sector, as well as increased caution in investment decisions and fleet renewal by companies,” Anaya said, noting that many businesses and investors have postponed replacing their vehicle fleets.

Despite the overall decline, corporate leasing remained an important procurement channel, accounting for 23.2% of the 59,791 light vehicles sold through fleet purchasing programs during the quarter.

“Vehicle leasing remains a strategic alternative for companies, especially in an environment where preserving liquidity, maintaining operational capacity, and renewing fleets with greater flexibility are key priorities,” said Fernando Noriega, president, AMAVe.

The main growth driver during the first quarter was the hybrid and electric vehicle (HEV/EV) segment. Of the 44,183 hybrid and electric light vehicles sold in Mexico, leasing companies purchased 3.2%, representing a 65.2% year-over-year increase. Overall, AMAVe members accounted for 3.6% of all new light vehicle purchases and 8.3% of all new heavy vehicle purchases in the domestic market.

The shift toward electrification has been accelerated by the arrival of Chinese automotive brands in Mexico, expanding the range of available models and technologies. According to Noriega, most of those purchases—particularly electrified vehicles—were made at the end of last year as leasing companies sought to secure inventory and modernize their fleets ahead of the World Cup.

However, Noriega said new entrants face intense competition to establish a long-term presence in the commercial leasing market.

“The Mexican market does not have room for so many brands, which is why they will have to make a significant effort to participate in the leasing industry,” Noriega said, adding that companies seeking meaningful market share “will have to earn it.”