EV Sales Surge, Nissan Restructures: The Week in Automotive

This week in automotive news: Mexico’s EV market surged 34% in 1H25, even as overall auto sales declined for the fourth consecutive month. Nissan’s restructuring and a projected US$1.2 billion loss raise concerns, though production is expected to remain stable. Meanwhile, JAC and Giant Motors continue to drive local innovation, and Ford braces for a US$2 billion tariff hit as global OEMs adapt to shifting market dynamics.

Start your engines—this is the Week in Automotive!

Renault Taps François Provost as CEO to Lead US$3.2 Billion Plan

Renault Group has appointed François Provost as its new CEO and Chairman of Renault. The Board of Directors, led by Chairman Jean-Dominique Senard, confirmed Provost’s four-year mandate following the departure of Luca de Meo and the interim leadership of Duncan Minto. 

Rolls-Royce Raises 2025 Profit Forecast on Aerospace Demand

Rolls-Royce increased its 2025 full-year guidance, citing strong demand for civil aerospace engines and progress in cost-saving programs. The company now expects underlying operating profit to reach between £3.1 billion and £3.2 billion (US$4 billion and US$4.1 billion), up from the previous forecast of up to £2.9 billion. Free cash flow is also projected to rise to as much as £3.1 billion (US$4.03 billion), compared to the earlier target of up to £2.9 billion.

Mexico Light Vehicle Sales Dip 0.6% in July 2025

Mexico’s light vehicle market experienced its fourth consecutive month of decline in July 2025, with sales totaling 124,480 units—a 0.6% drop compared to the same month last year, according to data from INEGI.

Diversification: The Key to Succeed During Uncertain Times

Despite the higher cost of raw materials, it remains more profitable to manufacture in Mexico due to the high cost of specialized labor in the United States. The key in this highly uncertain global environment is flexibility. We must be prepared to adapt quickly, as conditions can change drastically from one week to the next, says Seeräuber’s CEO, Ernesto Sánchez.

EV Sales in Mexico Jump 34% in 1H25: EMA

Electric vehicle (EV) adoption in Mexico accelerated in 1H25, with sales increasing 33.76% compared to the same period in 2024, according to the Electromobility Association (EMA). A total of 43,656 EVs and plug-in hybrids (PHEVs) were sold between January and June,  raising the national EV fleet to 152,035 units, up from 108,379 at the end of 2024.

Nissan’s Relocation Seen Not to Affect Production or Suppliers

Nissan announced it will consolidate its vehicle manufacturing operations in Mexico by transferring production from its CIVAC plant in Jiutepec, Morelos, to its Aguascalientes complex by the end of fiscal year 2025. Although approximately 2,400 workers at the CIVAC facility face potential layoffs, industry leaders maintain that Nissan’s overall production volume in Mexico will remain stable. 

Ford Reinstates 2025 Outlook, Braces for US$2 Billion Tariff Hit

Ford reinstated its full-year 2025 financial outlook after suspending it in May due to ongoing US auto tariffs. The updated guidance incorporates an estimated net impact of US$2 billion from tariffs, with the company projecting a gross impact of US$3 billion and identifying mitigation strategies to offset US$1 billion of that amount.

Nissan Eyes US$1.2 Billion Loss, Will Shutter 7 Plants by FY2027

Nissan expects operating losses of approximately ¥180 billion (US $1.2 billion) in the first half of the fiscal year ending March 31. Based on current trends, analysts project a full-year loss of around ¥234 billion (US$1.58 billion). Nissan previously reported a net loss of ¥671 billion for the prior fiscal year—one of its largest annual losses in 25 years. 

Giant Motors, JAC Drive Mexico’s Auto Industry Future

The market is changing quickly, and our priority is to ensure that the best technology is available in Mexico from day one. For many years, Mexico received innovations only after other countries, under the assumption that "Mexico was not ready." That is no longer acceptable. We must guarantee immediate access to the most advanced technology. This means maintaining a global supply chain while simultaneously promoting the development of Mexican suppliers, says JAC’s General Director, Isidoro Massri.