Biden Raises Tariffs On Chinese Materials: The Week in Automotive

As Chinese car imports flood Mexican ports, creating logistics challenges, Biden’s administration decided to quadruple tariffs on Chinese EV materials to block their entrance into the US market. At the same time Mexican heavy-duty vehicles exports to the US break records. Additionally, there’s turmoil in the EV charger market as Tesla rehires some of the recently fired Supercharger team and decides to invest US$500 million in this division.

Rev up your engine. This is the Week in Automotive!

40% of Mexican Vehicle Armorers Lack Certifications: CNB

At least 40% of vehicle armoring companies in Mexico lack certifications, raising concerns regarding user safety, as highlighted by the National Ballistics Industry Council (CNB). According to CNB estimates, there are over 200 companies engaged in vehicle armoring in the country, but a significant portion lacks proper registration and certification.

Nissan's Profit Rises 92% Amid Global Sales Surge

Japanese automaker Nissan reported a 92% increase in net profit for the fiscal year ending in March, reaching JPY$426.6 billion (US$2.7 billion), propelled by a surge in sales across key markets worldwide. Annual sales escalated by nearly 20% to JPY$12.7 trillion (US$81.5 billion). 

Heavy-Duty Vehicle Sales to Break Records in 2024: ANPACT

The heavy vehicle market in Mexico is poised for significant growth in 2024, with ANPACT projecting a record-breaking year. ANPACT forecasts sales of 57,733 units, marking a 12.6% increase compared to 2023 and potentially surpassing a longstanding record set in 2007.

Tesla Will Invest US$500 Million to Expand Supercharger Network

Tesla is investing US$500 million to expand and improve its supercharger network, rehiring some members recently fired from the supercharger team. The recent termination of nearly all Supercharger team members by CEO Elon Musk sparked concern among industry observers and customers alike. A few days later Musk unveiled plans to expand Tesla's Supercharger network despite the mass layoffs.

Yura Launches Automotive Plant in Mapimi, Durango

Yura celebrated the inauguration of its new manufacturing plant for automotive parts, harnesses, high-voltage connectors, and electrical components in Durango on May 12, 2024. Governor Esteban Villegas initiated operations at the facility, situated in the Mapimi municipality, with an investment of MX$63 million (US$3.7 million), signaling the beginning of a wave of economic growth and job creation in the region.

Biden Administration Quadruples Tariffs on Chinese EV Materials

The Biden administration has announced an escalation in trade measures against Chinese EVs, unveiling a suite of new tariffs targeting critical sectors. This move, framed as a strategy to bolster American industries and jobs, will quadruple tariffs from 25% to 100% on key imports for EV production.

Chinese Car Imports Spurs Logistics Challenges in Mexico

Chinese vehicle imports have risen significantly in the first two months of 2024, creating logistical challenges for Mexican ports. According to INEGI, 73,554 units from brands such as JAC, Chirey, Omoda, Changan, MG Motor, BAIC, and JMC were imported, marking a 48% increase compared to the previous period. This surge has led to congestion in major Pacific ports, increasing logistical costs, and leading to delivery delays.