Stronger Together: The Future of North American Auto Sector

Mexico’s automotive sector stands at a turning point. During the 23rd International Summit of the Automotive Industry in Mexico (CIIAM 2025), held by the National Autoparts Industry Association (INA), we confirmed that amid global uncertainty, our region faces a once-in-a-generation opportunity: to consolidate itself as the most competitive industrial region in the world. Today, North America’s strength rests on five mutually reinforcing pillars — trade, productive integration, proximity, employment, and clear rules — and Mexico is the link that binds them together.

At CIIAM, INA presented ideas to build a stronger future. Mexico, the United States, and Canada form a unique co-production platform: every year we manufacture 15 million vehicles and more than US$460 billion in auto parts, with complementarity that serves as a source of strength rather than concern. Seventy-four percent of the components in vehicles built in Mexico come from the United States, while less than 5% depend on Asia. That complementarity is the true engine of regional competitiveness.

CIIAM 2025 reminded us that the current challenges — tariffs, the upcoming USMCA review, and geopolitical tensions — must be faced with vision, not fear. The USMCA is one of the most successful trade agreements in history, encompassing around 30% of global GDP and generating shared prosperity. The data is clear: regional complementarity has risen from 62.5% to 75%, strengthening value chains and demonstrating that, beyond borders, what unites us are production networks that deepen every year.

The key takeaway from the event was that North America is not under dispute, it is undergoing redefinition. The speakers reminded us that the success of the USMCA depends on recognizing Mexico not as a peripheral player, but as a central partner in the region’s economic and technological architecture. Their call to strengthen trilateral cooperation, especially in electromobility and data management, reflected a pragmatic vision: North America must compete as one to win the innovation race. Mexico’s role is to serve as the manufacturing and talent hub that connects the region’s innovation and design capabilities with its production strength.

One of the most encouraging outcomes of CIIAM 2025 was the tangible progress of the Supplier Development Program (PDP), driven by INA in coordination with Mexico’s Ministry of Economy and the World Bank’s IFC. This initiative addresses a structural need: rebalancing the inverted pyramid of Mexico’s automotive sector, where there are many OEMs and Tier 1 suppliers, but a weaker Tier 2 and Tier 3 base.

Today, 55 supplier companies and 16 anchor firms are part of the program, receiving training, technical assistance, and access to financing. The project not only raises quality and certification standards but also democratizes competitiveness, enabling more small and medium-sized enterprises to become genuine participants in supply chains. The next step is to replicate this model across Mexico’s 12 automotive clusters, ensuring that complementarity happens horizontally — built on collaboration and shared innovation.

This edition also underscored a crucial reality: Without sufficient, clean, and affordable energy, nearshoring will not be sustainable. According to the Mexican Institute for Competitiveness (IMCO), 91% of projects in industrial parks report limited access to electricity — a challenge that must be addressed through long-term planning and public-private collaboration. At the same time, ESG (environmental, social, and governance) criteria have become mandatory for entering international markets. They are no longer optional or reputational; they are technical requirements. Companies such as Deloitte and FORVIA highlighted how traceability, circular-economy practices, and emissions reduction are transforming supply chains. Suppliers that adopt these standards will not only become more sustainable but also more competitive.

This vision connects with another recurring message throughout the Congress: the importance of maintaining a cooperative rather than confrontational narrative. Mexico and the United States need each other. Our economies are intertwined through trade, energy, technology, and — above all — the human talent that sustains the industry. The USMCA review must be approached with strategic intelligence. Regional competitiveness depends less on rhetoric and more on our ability to produce together, innovate together, and grow together.

By the end of the Congress, one certainty prevailed: Mexico’s automotive industry does more than manufacture parts — it manufactures opportunity, knowledge, and the future itself. Every plant, every engineer, and every supplier is part of a collective story proving what we can achieve when we act with a shared vision. North America’s strength does not lie within its borders but in its complementarity. And the driving force of that integration has a name: Mexico.