Sale of light cars falls in Mexico, The industry had its worst moment so far in 2021 by only placing 76,930 units on the market throughout September, figures from the National Institute of Statistics and Geography reveal (Inegi).
This would represent a decline of 1.7 percent, compared to the 78 thousand 235 vehicles sold in the immediately previous month.
Consult the Administrative Registry of the Automotive Industry of Light Vehicles #RAIAVL, with information from 23 companies affiliated to the @AmiaMexico and 2 unaffiliated, updated September 2021. https://t.co/JwgKmPl5nM pic.twitter.com/oOphnTWmWH
– INEGI INFORMA (@INEGI_INFORMA) October 4, 2021
According to the Administrative Registry of the Automotive Industry of Light Vehicles (RAIAVL), in its annual perspective, the sector in Mexico also suffered a decrease of 1.1 percent if the September sales are compared with the 77 thousand 808 units placed in the same period of 2020, even though last year was atypical due to the impact that the Covid-19 pandemic had on economic activities. This fall is even more serious if it is added that in September 2019 there were 100 thousand 757 cars sold, that is, the difference in two years is 23.65 percent.
For the RAIAVL, the data are clear: there is a downward trend in the sales of this type of vehicle and it has been getting worse since June of this year, when 88 thousand 688 units were sold, since from there the numbers continued to decline, with 82 thousand 157 units in July and 78 thousand 235 sales in August.
“The result for the month of September reflects the deterioration of the market, marking the third negative rate so far in 2021 and the first decrease after six consecutive months of progress. These results reflect the restriction faced by the lack of inventory linked to the shortage of semiconductors that impacts various industries globally ”, expressed Guillermo Rosales, director of the Mexican Association of Automotive Distributors (AMDA).
The commercial deterioration for the association exposes a deteriorated market, as they consider that it is associated with the shortage of semiconductors that impacts production.
This, they said, has been reflected in various stages; August, for example, also had a 4.8 percent decrease compared to July of this year, when the sector showed a reduction in sales of 3,922 light vehicles.
Rosales predicted that the uncertainty about the supply and availability of the product in the market will continue to be present for several more months, so that the sales expectation will be reduced and around one million 56 thousand units could be placed by 2021.
Affected inventory loss
For the Mexican Association of Automotive Distributors (AMDA), the fall in sales in September is due to a general inventory problem in the industry.
“The main limiting factor in the month was the lack of inventory due to manufacturing problems due to the insufficiency of semiconductors, as well as a high level in the price indices of both the general (6%) and vehicles (9%) in annual comparison with data from the first half of September ”, added director Guillermo Rosales.
Among the automakers that did manage to increase their sales in September are: Acura with 38%; BMW, 12%; Hyundai, 8%; JAC, 119%; KIA, 4%; Land Rover, 9%; Lincoln, 14%; Mercedes Benz, 33%; Mitsubishi, 122%; BAIC, 59%; Stellantis, 18%; Subaru, 97%; Suzuki, 22%; Toyota, 55%; and Seat with 41%.
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