Mexican auto output rose in July

Mexican auto production rose in July from a year earlier as the supply chain continues to adapt to new market conditions.

Light vehicle production rose by nearly 11pc to 259,994 units in July year over year, according to data released by the Mexican auto industry association (Amia) late on 5 August.

Total vehicle production edged up by 5pc to 1.92mn units in the first six months of 2022, compared with the same period of last year.

But domestic sales increased by only 1.2pc to 83,137 vehicles in July from the prior year, and they dropped slightly, by 0.2pc, to 601,561 units in January-June of this year, below the volume recorded in the first half of 2021.

"Vehicle price increases and the prolonged war between Russia and Ukraine are elements delaying the recovery of the industry," Amia said.

Separately, exports of light vehicles reached 210,170 units in July, up by 4pc from the same month of 2021. Sales of light vehicles to international markets amounted to 1.6mn units in the first six months of the year, an increase of 0.5pc year over year.

Mexico's economy rose modestly in the first quarter of 2022 driven by strong manufacturing growth. GDP rose by nearly 2pc on an annual basis and in seasonally adjusted terms, according to the country's statistics agency (Inegi).

Manufacturing and construction rose by 2.8pc in the first quarter on a year-over-year basis, while mining and agriculture edged up by 2.1pc.

By Maria Eugenia Garcia