Volvo Buses to increase coaches exports from Mexico to the US
Volvo Buses plans to increase exports to the United States by 33% of the coaches it produces at its plant in Tultitlan, State of Mexico, company officials recently told Forbes Mexico. Rafel Kisel, CEO of Volvo Buses Mexico, said that this year they will ship 150 units to the U.S. market, a figure that will increase to 200 units by 2019.
“We are the only bus plant that exports from Mexico to the United States and Canada,” said the executive, who explained that the figure is still modest because the U.S. market is highly regulated and very competitive. “It’s a matter of time,” he said.
The official revealed that this year the volume of sales in the domestic market will be of 750 units, which means an increase of approximately 25% compared to 2017. As of September, its market share in Mexico was 39.7% in coaches and 57% in urban buses.
Regarding the new trade agreement between the United States, Mexico and Canada (USMCA), the executive noted that there were no changes in the rules of origin for buses, so they do not expect any impact on exports in the region.
Created in 1972 by the Mexican company Mexicana de Autobuses S.A. de C.V. (MASA), the Tultitlan plant was acquired by Volvo Buses in 1998.