A Wise Fleet Strategy Can Beat Volatility

In today’s global climate of uncertainty — exemplified by rising tariffs, geopolitical risks, and supply chain fragility — business leaders face a defining question: How can we safeguard our fleet operations while continuing to innovate, reduce emissions, and control costs? In Mexico, the tension between long-term sustainability goals and short-term operational pressures is becoming increasingly difficult. As trade frictions escalate between the United States and its allies and competitors alike, Mexican companies are being pulled into a vortex of unpredictable acquisition costs, volatile fuel prices, and delayed vehicle availability. These disruptions are not hypothetical, but currently reshaping the rules of engagement for fleet-dependent businesses.

The automotive sector sits at the heart of North American integration. In 2024, 80% of Mexico’s vehicle exports — roughly 2.5 million units — were destined for the US market, while an additional 8.5% went to Canada. On average, vehicles assembled in Mexico contain 40% US content, a reflection of the deeply interconnected supply chain that spans the region. At the same time, 31% of all Mexican exports to the United States are tied to the automotive and electronics industries. This vertical integration underscores the vulnerability of Mexican fleets to policy changes north of the border. 

Fleet managers today can leverage a multi-OEM acquisition strategy to spread risk and avoid overexposure to any single vehicle source. According to our internal data, working with broad networks of maintenance and repair vendors across North America is another way that fleet managers can reduce downtime by up to 20% and ensure vehicles are serviced efficiently regardless of border complications. 

The impacts are not only related to automotive acquisition, but also to parts and maintenance availability. Replacement cycles will need to be reassessed as vehicle shortages and elevated prices start to limit options. Many businesses may be forced to delay replacements, alter fleet size or composition, or turn to the used vehicle market where prices are rising in anticipation of supply constraints. Insurance premiums are also likely to rise, as the cost of repairs and parts increases. 

Fuel price volatility also needs to be taken into consideration. Mexico imports approximately 90% of its gasoline from the United States, valued at approximately US$39 billion in 2023. As a result of geopolitical uncertainty, prices at the pump could increase, affecting operating costs for fleets that still rely heavily on internal combustion engine vehicles, as opposed to electrical options. Under these circumstances, route optimization, idle time reduction, and acceleration of fleet electrification are no longer optional, but become critical to preserving margins and operational continuity.

While the challenges are formidable, they are not insurmountable. Companies that thrive amid this turbulence will be those that approach fleet management strategically.  This is where a specialized partner becomes indispensable and as a leader of the largest fleet management company in Mexico, I love the challenge. 

The complexities of today’s environment require a new approach. Fleet management in 2025 is no longer about keeping vehicles on the road but ensuring the resilience and profitability of the business itself. Fleet consulting expertise, such as market trends data, allows businesses to recalibrate replacement cycles and align them with the shifting realities of cost, availability, and regulatory pressure.

Companies need to adjust replacement schedules, anticipate downtime through predictive maintenance, and incorporate tools like AI and telematics to maximize asset utilization and regulatory compliance. ESG commitments are also moving to the forefront. Reducing fleet emissions is not only a reputational imperative, but increasingly a compliance issue as governments tighten environmental regulations. 

For business leaders, the message is clear: let the experts handle your fleet, so you can stay focused on your core mission.  Looking ahead, we expect that geopolitical and trade volatility will remain a constant over the short and medium term. With the right strategic partner, companies can turn this uncertainty into a competitive advantage. Fleet management, once seen as an operational line item, is now a lever for resilience, innovation, and long-term value creation. In this new era, it is not enough for fleets to simply survive. They must evolve and drive the business forward.