Car sales fall by 3.7% in January

Car sales fall by 3.7% in January

MEXICO – In January, the generalized increase in prices and economic uncertainty caused new car sales in Mexico to start 2022 with negative numbers, adding to the complex panorama faced by the industry.

During January 2022, automakers managed to sell 78,585 new cars in the domestic market; this level of sales implied a 3.7% decrease compared to the same month of the previous year, according to the historical record of the Mexican Association of the Automotive Industry (AMIA).

In its immediate comparison, it also registered a contraction of 19.3%; however, this is in line with the seasonal effect of every year; after a high level of consumption during the Christmas season, sales contract in January.

It is worth mentioning that new car sales in January 2022, positioned it as the worst January in 10 years.

Nissan, General Motors and Toyota lead new vehicle sales in the country; these firms alone represent 43% of total sales.

The automotive industry, which was one of the first to reactivate its operations after the confinements, continues to face problems in its economic recovery. External factors such as the global crisis in supply chains, shortages of inputs and persistent restrictions due to new strains of Covid-19 continue to put pressure on vehicle production and exports.

Source: El Economista