Chinese electric vehicle maker BYD anticipates strong sales growth in Mexico in 2025.
Jorge Vallejo, BYD’s general director in Mexico, said on Tuesday that the Shenzhen-based company expects to sell 50,000 electric vehicles (EVs) in Mexico this year and 100,000 in 2025.
He outlined the projections at the BloombergNEF forum in Monterrey, Nuevo León.
Sales of electric vehicles and vehicles made in China have recently increased in Mexico.
Vallejo also said Tuesday that BYD will announce the location of its planned factory in Mexico later this year.
He said the plant would produce 150,000 vehicles annually in the first phase of operations, before increasing production to 300,000 in the second phase.
Earlier this year, Mexico imposed new tariffs on hundreds of products from China and other countries with which it does not have trade agreements. EV is one such product.
Reuters recently reported that BYD is seeking an extension of tariff relief for its imports in Mexico, as “a ruling exempting about 15% to 20% of tariff payments on electric vehicles imported from countries with which Mexico does not have a trade agreement” was set to expire at the end of October. It is unclear whether the extension was granted.
What does BYD say about its proposed factory in Mexico?
- The automaker confirmed in February that it would open a factory in Mexico. BYD America CEO Stella Li said the factory would only make vehicles for the Mexican market.
- Vallejo said in June that BYD’s proposed operations in Mexico would create about 10,000 jobs.
- Vallejo said in August that the company had narrowed the list of potential locations for the plant to three states.
- In September, Li rejected a Bloomberg News report that said the company had postponed a final decision on plans for a factory in Mexico until after the United States presidential election. Vallejo previously said the company plans to determine a factory location by the end of this year.
With a report from Reuters