Plug-in Hybrid Electric Vehicles - Mexico

Mexico

Highlights

The revenue in the Plug-in Hybrid Electric Vehicles market in Mexico is projected to reach US$12.5bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 4.09%, resulting in a projected market volume of US$15.2bn by 2029.
By 2029, the unit sales in the Plug-in Hybrid Electric Vehicles market are expected to reach 9.66k vehicles.
The volume weighted average price of Plug-in Hybrid Electric Vehicles market in 2024 is expected to amount to US$1.6m.
From an international perspective, it is shown that the most revenue will be generated China with US$166bn in 2024.
Mexico is experiencing a growing demand for Plug-in Hybrid Electric Vehicles as consumers prioritize environmental sustainability and fuel efficiency.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureMethodology

The Plug-in Hybrid Electric Vehicles market in Mexico is experiencing significant growth and development.

Customer preferences: Mexican consumers are increasingly interested in Plug-in Hybrid Electric Vehicles due to their environmental benefits and cost savings. Plug-in Hybrid Electric Vehicles offer lower emissions compared to traditional gasoline vehicles, which aligns with the growing concern for environmental sustainability in Mexico. Additionally, the cost savings associated with Plug-in Hybrid Electric Vehicles, such as lower fuel expenses and potential government incentives, are appealing to Mexican consumers.

Trends in the market: One of the key trends in the Plug-in Hybrid Electric Vehicles market in Mexico is the increasing availability of models and options. As global automakers recognize the potential of the Mexican market, they are introducing a wider range of Plug-in Hybrid Electric Vehicle models to cater to different customer preferences. This trend is driven by the growing demand for environmentally friendly vehicles and the government's push for the adoption of electric and hybrid vehicles. Another trend in the market is the expansion of charging infrastructure. To support the growing number of Plug-in Hybrid Electric Vehicles on the roads, both public and private entities are investing in the development of charging stations across the country. This infrastructure expansion is crucial to address the range anxiety that some potential buyers may have and encourage the adoption of Plug-in Hybrid Electric Vehicles.

Local special circumstances: Mexico has a unique set of circumstances that contribute to the development of the Plug-in Hybrid Electric Vehicles market. Firstly, the country has a large automotive manufacturing industry, with many global automakers having production facilities in Mexico. This proximity to manufacturing plants allows for easier access to Plug-in Hybrid Electric Vehicle models, as well as potential cost savings due to reduced import taxes. Additionally, Mexico has favorable weather conditions for Plug-in Hybrid Electric Vehicles. The country's mild climate reduces the strain on batteries, allowing for better performance and range. This factor makes Plug-in Hybrid Electric Vehicles a practical choice for Mexican consumers.

Underlying macroeconomic factors: Several macroeconomic factors are driving the growth of the Plug-in Hybrid Electric Vehicles market in Mexico. Firstly, the government has implemented policies and incentives to promote the adoption of electric and hybrid vehicles. These include tax breaks, subsidies, and exemptions from certain restrictions, making Plug-in Hybrid Electric Vehicles more affordable and attractive to consumers. Furthermore, Mexico is experiencing an increase in disposable income and a growing middle class. As more individuals have the financial means to purchase vehicles, the demand for Plug-in Hybrid Electric Vehicles is expected to rise. This trend is further supported by the decreasing costs of Plug-in Hybrid Electric Vehicles, as advancements in technology and economies of scale make them more affordable. Overall, the Plug-in Hybrid Electric Vehicles market in Mexico is developing rapidly due to customer preferences for environmentally friendly and cost-effective vehicles, the increasing availability of models and charging infrastructure, local special circumstances, and underlying macroeconomic factors. As these trends continue, the Plug-in Hybrid Electric Vehicles market in Mexico is expected to experience sustained growth in the coming years.

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).