Statistics released by the Mexican Auto Industry Association (AMIA) reveal that the American trio of auto manufacturers, Ford, GM and Chrysler have lost a huge chunk of the Mexican new car market sales to their Asian counterparts in the last decade.
The American manufacturers who used to command almost half of the Mexican new car market in 2008 have sold approximately only a quarter of the total new cars bought in the Mexico in the first quarter of 2018.
On the other hand, Asian car makers who used to hold a 35% market share in 2008 have increased their share to 51%.
Nissan lead the sales in the Mexican new car market. They captured 23% market share, followed by Toyota at 7.7% and Kia at 6.9%. The significant jump in the sales of these companies are connected to their increase in manufacturing activity in the country. These companies collectively made investments to the tune of $2.6 billion between 2014-2017 in Mexico.
The surge in their sales can also be attributed to their aggressive marketing activities, longer warranties and attractive financing options. Analysts also believe that a growing anti-American feeling generated by the Trump administration also contributed to the customers flocking towards Asian brands.
The sales of the European brands remained stagnant at a little over 23% over the last decade.