JAC Motors Aims to Lead Mexico's EV Supply Chain for Next Century
JAC Motors has set a long-term goal to become a key player in Mexico's electric vehicle (EV) supply chain for the next century. Isidoro Massri, manager of JAC Motors' Mexican subsidiary, JAC México, announced this at the 2022 Automotive Logistics and Supply Chain Mexico conference. Meanwhile, Mexico's ports have seen significant shifts in vehicle handling and exports.
Mexico's vehicle market has seen a surge in Chinese brands, now accounting for around 20% of sales. This growth, around 300% over the last few years, has been driven by competitive pricing, with Chinese vehicles typically 20-30% cheaper than their rivals. The top three carmakers in Mexico, GM, Nissan, and VW, export around 80% of their vehicles, contributing to the country's status as one of China's top four export markets for vehicles.
The increased presence of Chinese vehicles has led to changes in port handling. Veracruz port, North America's top vehicle-handling port, saw a 9% increase in 2023 with over 933,000 units processed. Lázaro Cárdenas port, a major entry point for Chinese vehicles, also registered a similar increase in volumes. However, Mazatlán port has been acting as an overflow port for volumes originally destined for Lázaro Cárdenas, leading to a significant percentage increase in 2023. Altamira port saw the biggest gain in 2023, up 33% to 456,000 units, ranking it third in Mexico and fifth in North America.
JAC Motors' commitment to Mexico's EV supply chain signals a long-term strategy for the Chinese automaker. As Mexico's ports continue to adapt to changing vehicle handling needs, the country's vehicle market remains dynamic and open to new players.
