Mexican auto production falls for second year running

Mexico auto production fell by 2 per cent last year compared with 2020, the second annual decline in a row, as Mexico’s flagship industrial sector struggles to pull past pandemic shocks and a global semiconductor shortage, official data showed on Friday.

Auto output in 2021 declined to 2,979,276 vehicles from 3,040,178 the year before, according to figures published by Mexico’s national statistics agency (INEGI).

However, the industry did post a slight rise in exports, sending abroad 2,706,980 automobiles compared to 2,681,806 in 2020, an increase of almost one percent.

In December alone, production fell by 16.51 per cent while exports plunged by 17.31 per cent, marking the sixth straight month of declines. A global semiconductor shortage in recent months has prompted automakers in Mexico and the rest of North America to implement rolling shutdowns, curtailing production.

– Reuters