Queretaro Auto Supply Chain Tops 1,000 Firms in 2025

Queretaro’s automotive industry expanded its supply chain to more than 1,003 companies and over 123,000 direct jobs, supported by US$9.3 billion in auto parts production in 2025 and its position as Mexico’s fifth-largest producer. The state continues to integrate OEMs and Tier 1, Tier 2, and Tier 3 suppliers while advancing its electrification strategy and attracting investment across manufacturing and mobility technologies.

According to the Mapeo de la Industria Automotriz en Querétaro 2026, the state accounted for 7.8% of national auto parts output, ranking fifth in Mexico. Production is expected to reach US$9.5 billion in 2026, representing annual growth of 2%, driven by industrial expansion and deeper supplier integration.

The automotive ecosystem includes OEMs and Tier 1, Tier 2, and Tier 3 suppliers, supported by 292 manufacturing plants, 38 raw material suppliers, and more than 410 service and product providers. Officials report that 1,003 companies operate across the value chain, manufacturing systems such as powertrain, chassis, interiors, electronics, and mobility components.

Electrification is becoming a core component of the sector. The state has three suppliers of batteries and related components, 16 firms focused on electric powertrains, one producer of power control units, one supplier of thermal management systems, and 18 additional companies linked to electric vehicle components.

From 2019 through May 2026, 14,106 electrified vehicles were sold in the state, including 2,248 battery electric vehicles (BEVs), 1,884 plug-in hybrid electric vehicles (PHEVs), and 9,974 hybrid electric vehicles (HEVs). Hybrid models accounted for 70.71% of total electrified vehicle sales, followed by battery electric vehicles at 15.94% and plug-in hybrids at 13.35%.

Sales of electrified vehicles are projected to reach 4,882 units in 2026, a 36.6% increase from 2025. Forecasts include 3,240 hybrids, 915 plug-in hybrids, and 727 battery electric vehicles.

In the broader vehicle market, Queretaro recorded 36,831 light vehicle sales in 2025, a 0.4% decline year over year, with sales projected to total 36,094 units in 2026. The state represents 2.3% of Mexico’s national light-vehicle market and ranks 14th nationwide.

Between January and April 2026, light-vehicle sales totaled 11,263 units, down 1.4% from the same period in 2025. Demand is concentrated in the state capital, which accounts for 62.6% of sales, followed by Corregidora, El Marques, and San Juan del Rio.

The best-selling models include the Nissan Versa, Kia K3, Chevrolet Aveo, Nissan NP300, and MG5. Financing remains a key driver of purchases, with 60-month loan terms being the most common among buyers.

Investment activity continues to support the sector’s expansion. Queretaro registered 17 automotive investment projects worth US$239.7 million in 2025, followed by 11 additional projects totaling US$234.6 million in 1Q26.