Automotive aftermarket in Mexico to grow more than 6% annually

The automotive aftermarket in Mexico totaled $4.3 billion in 2016 and represented 8% of North American demand, according to a new report from the Freedonia Group (Cleveland), a division of The Freedonia Group said the value of the Mexican peso relative to the U.S. dollar declined during the 2011 to 2016 period, with the result that sales fell through 2016. In spite of that, aftermarket sales continued to climb at a strong rate when measured in pesos, said the study, "North American Automotive Aftermarket, 8th Edition."

Automotive aftermarket demand in Mexico is forecast to expand 6.4% per year through 2021 to $5.8 billion, which is the fastest rate in the region and a turnaround from the declines of the 2011 to 2016 period. The increasing availability of newer model used car imports from the United States under the 2009 NAFTA agreement is expected to have a mixed effect on the Mexican automotive aftermarket.

Aftermarket demand for automotive components in all of North America is forecast to expand 2.4% per year through 2021, accelerating from the slower growth seen between 2011 and 2016. Sales will be promoted by such factors as growth in the size and average age of the region’s light vehicle park, gains in the average number of miles driven annually and increasingly stringent regulations regarding emissions, fuel efficiency, hazardous materials, and occupant and pedestrian safety, all of which will boost the number and value of many automotive components, said The Freedonia Group’s study.

Expansion continues among suppliers to automotive OEMs in Mexico

Mexico continues to see growth and expansion in the automotive supply chain.

Recent announcements include the opening of a new, 300,000-square-foot site in Silao, Guanajuato, for Inteva Products LLC, a global Tier One automotive supplier of engineered components and systems. This is Inteva’s sixth site in Mexico, expanding the footprint it already has in the country in Matamoros (three facilities), Juarez and Puebla. The facility manufactures interior systems, and the company plans to expand its product lines to include roof systems, closure systems, motors and electronics, according to Inteva.

Mecaplast - Key Plastics, which rebranded itself last September as Novares, a global plastic solutions provider that designs and manufactures complex systems serving the automotive industry, expanded into an 83,000-square-foot leased facility in Chihuahua-Ciudad Juarez. Also expanding in that city is Altec Visteon, headquartered in Van Buren Township, MI. The company manufactures cockpit electronics, instrument clusters, heads-up displays, infotainment and telemetries, and it is locating to a 237,000-square-foot facility.

This past November, Novares won the SPE Innovation Award in cooperation with Faurecia in the process and technologies category for decorative components for their customer Ford. The winning component was a two-shot injection molded decorative bezel for an instrument panel with 3D visuals and a scratch-resistant coating. It was produced by means of a specialized plastic injection molding technique.

Summit Plastics, a full service injection molding supplier to the automotive industry headquartered in Shelby Township, MI, is expanding into a new 183,000-square-foot facility in Guanajuato, Mexico. The company has a 100,000-square-foot facility in El Paso, with presses ranging from 85 to 750 tons.

Lear Corp., a global supplier of advanced seating and electrical systems for the automotive and aerospace industry, is expanding its plant in Saltillo-Ramos Arizpe, by 88,000 square feet. The company currently has 19 facilities throughout Mexico and employs about 45,000 people.

Source: Clare Goldsberry
If you would like to find out more about this topic or are interested in receiving a complimentary business case analysis for your operation in Mexico, please fill out this form or contact us at:

US toll-free: +1 (877) 698 3905

CAN toll-free: +1 (844) 422 4922
Please note that we do not accept job applications here. If you are interested in applying for a position, please visit the following link:

Related posts

May 19, 2022
Aerospace industry Mexico
They highlight Querétaro’s position as “aerospace city of the future”
During his participation in the Mexico Aerospace Forum 2022 , Marco Antonio Del Prete Tercero , head of the Secretariat for Sustainable Development (Sedesu), described Querétaro […]
May 19, 2022
Automotive industry Mexico
Mexico rises to fourth place in the world as a producer of auto parts
Mexico managed to position itself as the fourth world producer of auto parts, surpassing the figures achieved by Germany in this subsector last year. At the […]
April 28, 2022
Aerospace Industry in Queretaro
Queretaro aerospace companies seek to gain 10% of the supply market in Mexico
The Tier 1 and OEM companies attached to the Aeroclúster de Querétaro seek to obtain 10% of their supply in the region in five years, anticipated […]
April 6, 2022
FreightCar America says moving production to Mexico is paying off
FreightCar America Inc. said its business is booming since it moved production to Mexico. The Chicago rail car company (Nasdaq: RAIL) announced in September 2020 that […]
March 10, 2022
What Is Going On in Mexico’s Aerospace Sector?
What Is Going On in Mexico’s Aerospace Sector?
For the past two years, Mexico’s aerospace and aviation sectors have focused on recovering from economic losses caused by the COVID-19 pandemic. Now, the industry has […]
March 10, 2022
Mexico exceeded 31,600 million dollars of foreign direct investment in 2021
Mexico exceeded 31,600 million dollars of foreign direct investment in 2021
The figure is the product of the difference of 45,084.9 million dollars registered as inflows and 13,473.7 million dollars in outflows, the SE specified. “The reported […]