Pandemic Leads to Modest Results

As quarterly reports arrive, Nissan foresees a modest 2020 in profits, while Renault announced global cuts of US$2.2 billion in costs over a five-year period. Volkswagen and Daimler are getting ready for electrification as they begin studies for sustainable lithium production in Chile.

New-vehicle financing, as well as production, maintain their downward trend. However, thanks to USMCA, Mexico could be the fourth-largest auto part producer in the world, according to INA.

Ready to hit the road? Don’t miss the upcoming models!

New Arrivals

• Ford Performance, a GT limited edition.
• Mitsubishi L200, ultimate performance in the heavy-duty segment.
• Toyota RAV4 Hybrid, sustainable mobility is here to stay.

Industry in Figures

• Mexico would be the fourth-largest auto part producer in the world thanks to USMCA, according to INA.
• ANPACT reports a 29.5 percent fall in wholesale of heavy vehicles in January 2020, compared to 2019.
• Credit for new cars fell 9.2 percent in 2019 compared to 2018. AMDA will present a policy proposal for the government to foster credit.
• Car production has its first negative January in a decade falling 4 percent, according to INEGI.
• The Coronavirus has not had an impact in the Mexican automotive industry yet, according to IHS Markit.

Industry Benchmarks

• Talks about USMCA’s implementation with the US Trade Representative requested by the Mexican Minister of Economy concluded successfully.
• Renault remains optimistic as new arrivals for the Mexican market land in 2020.
• Mazda produces its 1-millionth unit in Salamanca after 6 years of operations.
• COFECE reduced the fine set to Denso Corporation after its 2016 wrongdoing  committed alongside Mitsubishi when participating to be a GM supplier of AC compressors.
• “To go from an automotive to a mobility industry, Mexico needs more R&D,” says CEO of Bosch GmbH.
• Uber to increase security features to include ride checks and NIP verification.      

OEMs at the Global Level

• Renault will cut costs for US$2.2 billion at the global level after its first loss in a decade.
• Nissan posts its first quarterly net loss in almost ten years and warned that 2020 profits would be its weakest in 11 years.
• Volkswagen and Daimler to foster sustainable lithium production in Chile.