Electric Vehicles - Mexico | Statista Market Forecast

In the year 2024, it is projected that the revenue in the Electric Vehicles market in Mexico will reach a staggering amount of US$34.8bn.
Looking ahead, the market is expected to experience a steady annual growth rate (CAGR 2024-2029) of 8.97%, leading to a projected market volume of US$53.4bn by the year 2029.
Furthermore, it is anticipated that the unit sales of Electric Vehicles market in Mexico will reach 56.77k vehicles by 2029.
When examining the pricing aspect of the Electric Vehicles market, the volume weighted average price in Mexico is expected to be approximately US$981.3k in 2024.
From an international perspective, it is evident that China will generate the highest revenue in the Electric Vehicles market, with an estimated amount of US$376bn in the year 2024.
Mexico is experiencing a surge in the popularity of electric vehicles as the government implements policies to promote their adoption.

CO2 emissions exert a profound influence on climate and the environment, fueling the greenhouse effect and contributing significantly to global climate change. Nearly one-fourth of these emissions worldwide can be attributed to the transportation sector. Electric vehicles (EVs) emerge as a promising solution, potentially acting as a carbon-neutral alternative when powered by renewable energy sources. This underscores their pivotal role in mitigating the impact of traditional combustion engine vehicles on the environment.

The Electric Vehicles market includes information about electric vehicles in countries where, according to our sources, a public electric vehicle charging infrastructure is already available. In this context, “public” means that people have unrestricted access to the charging infrastructure. A vehicle can be defined as electric if it is self-contained with a battery or classified as a plug-in hybrid. All key figures shown represent the sales of new cars, and their basic configuration in the respective year. The figures do not include the sale of used vehicles nor adapted equipment for the new cars sold. The prices and revenues shown are accordingly based on the basic models.

The Electric Vehicle market is divided into distinct two distinct markets, namely Battery Electric Vehicles (BEVs) and Plug-in Hybrid Electric Vehicles (PHEVs). This categorization allows for a nuanced understanding of the market dynamics, considering the specific attributes and market penetration of each electric vehicle type. The emphasis on new car sales and their foundational configurations ensures clarity, while the exclusion of used vehicles and customizations maintains focus on the evolving landscape of electric vehicles.

Battery electric vehicles (BEVs)
Plug-in hybrid electric vehicles (PHEVs)
Road electric vehicles
Passenger Cars

Electric vehicles that are not self-contained and cannot be classified as BEVs or PHEVs
Rail electric vehicles
Surface and underwater vessels
Electric aircraft or spacecraft
Motorcycles, scooters, mopeds, buses, vans, and trucks

The Electric Vehicles market in Mexico is experiencing significant growth and development. Customer preferences are shifting towards more sustainable and environmentally friendly transportation options, leading to an increased demand for electric vehicles. Additionally, local special circumstances and underlying macroeconomic factors are contributing to the growth of the market.

Customer preferences: Customers in Mexico are increasingly prioritizing sustainability and environmental consciousness in their purchasing decisions. As awareness of climate change and the need to reduce carbon emissions grows, more individuals are opting for electric vehicles as a greener alternative to traditional gasoline-powered cars. The lower environmental impact and potential cost savings associated with electric vehicles are appealing to a wide range of consumers.

Trends in the market: One of the key trends in the Electric Vehicles market in Mexico is the expanding range of electric vehicle models available. Major automakers are introducing more electric vehicle options to cater to the growing demand. This trend is driven by advancements in battery technology, which have improved the range and performance of electric vehicles, making them a viable option for everyday use. Another trend in the market is the development of charging infrastructure. As the number of electric vehicles on the road increases, there is a growing need for reliable and accessible charging stations. Both public and private entities are investing in the installation of charging infrastructure across the country, making it easier for electric vehicle owners to charge their vehicles and alleviate concerns about range anxiety.

Local special circumstances: Mexico has a strong automotive manufacturing industry, with many major automakers having production facilities in the country. This presence of automotive manufacturing plants provides a favorable environment for the production of electric vehicles. The existing infrastructure and expertise in the automotive sector can be leveraged to support the growth of the Electric Vehicles market in Mexico. Additionally, the Mexican government has implemented policies and incentives to promote the adoption of electric vehicles. These include tax breaks, subsidies, and exemptions from certain fees and restrictions. These measures are aimed at encouraging consumers to choose electric vehicles and supporting the expansion of the market.

Underlying macroeconomic factors: Mexico is experiencing economic growth and an expanding middle class, which has led to an increase in disposable income. As a result, more individuals have the financial capacity to purchase electric vehicles. The growing middle class is also driving urbanization, leading to increased demand for transportation solutions in cities. Electric vehicles offer a sustainable and efficient option for urban mobility, making them an attractive choice for consumers. Furthermore, Mexico has significant renewable energy resources, particularly solar and wind power. The government has set renewable energy targets and is investing in the development of renewable energy infrastructure. This clean energy transition aligns with the goals of the Electric Vehicles market, as electric vehicles can be charged using renewable energy sources, further reducing carbon emissions. In conclusion, the Electric Vehicles market in Mexico is growing due to shifting customer preferences towards sustainability, the availability of a wide range of electric vehicle models, the development of charging infrastructure, local special circumstances such as the presence of automotive manufacturing plants and government incentives, and underlying macroeconomic factors such as economic growth and the availability of renewable energy resources. These factors are driving the adoption and development of the Electric Vehicles market in Mexico.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of new passenger cars. Data on the specifications of the sold vehicles is based on the base models of the respective makes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use company reports and websites, vehicle registries, car dealers, and environment agencies among other sources. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and car stock per capita. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, we use the ARIMA model for the Passenger Cars market. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development).

This report presents a comprehensive analysis and additional information on the Mobility market, in a PDF format.

For the first time in the past decade, lithium-ion battery pack costs increased in 2022 due to the raw material and battery component soaring price inflation. However, this increase in production cost has not slowed down the global electric vehicle (EV)market. Electric vehicle sales have increased tremendously over the past decade.