Coahuila, the largest producer of auto parts and second in vehicles

In Coahuila, the automotive sector is very relevant compared to other manufacturing industries, as it represents more than half (63.4%) of the entity's manufacturing production.

Automotive companies such as Fiat Chrysler Automobiles (FCA), Daimler Freightliner and General Motors (GM), in Derramadero and Ramos Arizpe, respectively, are located in Coahuilense territory, which generated the arrival of companies dedicated to the automotive industry over the years, and such growth It places the state as the largest manufacturer of auto parts, as well as the sub-leader producer of vehicles in Mexico.

According to figures provided by the National Institute of Statistics and Geography (Inegi) and the Mexican Association of the Automotive Industry (AMIA), during the past year, Coahuila was consolidated as the only entity located in the first places in the manufacturing areas of vehicles and auto parts.

The states that excelled in the manufacture of vehicles were Sonora, with 16.2% of the total national production value; Coahuila, with 15.9%; and Puebla, with 13.6%. They are followed by the State of Mexico, with 12.7% of the total value of production; Guanajuato, with 10.4%; Nuevo León, with 8.6%; Aguascalientes, 6.8%; Baja California, 5.5%; Morelos, with 5.2%; and San Luis Potosí, with 2.6 percent.

While in the creation of auto parts, Coahuila leads and by far this item, producing 17.7% of auto parts manufactured nationwide; surpassing states like Chihuahua, which contributes 11.4%; Nuevo León, with 10.4% and Guanajuato, with 10.2 percent.

Miguel Ángel Riquelme, governor of Coahuila, emphasized that the automotive industry is the most important in the state territory, positioning it as the number one national state in the manufacture of auto parts and second in the production of cars and trucks, with 15.9% of the Total production.

“In our state, Chrysler generates more than 1.8 million engines a year, the world's most awarded truck (Ram Heavy Duty 2020) is manufactured, more than 207,000 trucks per year and General Motors produces more than 1,000 units of Equinox and Blazer daily, that is, a van every minute, ”he said.

The document “Knowing the Automotive Industry”, presented jointly by AMIA and Inegi, details that in Coahuila the production of cars and trucks represents 24.8% of the state's manufacturing production and one of its main inputs is the manufacture of parts for automotive vehicles which contributes 22.1% of manufacturing production, positioning itself as one of the entities that registers the most economic activities related to the automotive industry with respect to manufacturing production.

REDITUABLE INDUSTRY

Óscar Albín Santos, executive president of the National Auto Parts Industry (INA), revealed that around 98 million vehicles are produced in the world, of which 4 million are manufactured in Mexico, while 30 million are manufactured in China and around of 12 in the United States.

The automotive industry in Mexico is made up of 30 brands of original equipment, 600 manufacturers of Tier 1 and another of both Tier 2 and Tier 3.

The country is fifth in auto parts production, the sixth car manufacturer and fourth in export worldwide.

“In auto parts we already outperform Korea and we go through Germany. We will end this year, if all goes well, with 98,000 or 100,000 million dollars (in production value), which is what Germany produces today. We are as big as Germany in the production of auto parts, ”he said.

In addition, from 2006 to 2018, it has been the main generator of net currencies for the country, with 82,880 million dollars, above remittance income, which totaled 33,481 million dollars; and tourism, with 12,296 million.

From 2004 to 2018, the automotive sector grew 153% in Mexico. INA forecasts estimate a production of 3,670,000 vehicles in the country by 2022, below the record achieved in 2018, when they added 3,911,000 cars made in Mexico.

In 2019, the automotive industry became the most important in the country, as it contributed 3.7% of national GDP and 21% of manufacturing GDP, being the economic activity with the highest participation in manufacturing GDP, exceeding the food industry, which always monopolized the first step.

From 2010 to 2018, the GDP of the automotive industry grew 12.3% on average in real terms, impacting 90 economic activities in the secondary sector, and 70 in commerce and services. So one in five jobs in manufacturing industries belongs to the automotive industry.

EXPORTS, ANGLE STONE

Despite the difficulties that the automotive industry presents in sales made in Mexico, it remains one of the main engines of exports and employment in the country's manufacturing industry, since 83% of total light vehicle production It goes to the export market.

In these areas, Coahuila has established itself as the leading exporting state, thanks to its two shipowners (FIAT Chrysler and General Motors) and the competitive advantages offered by the state to the foreign market.

The United States is the main market for vehicle exports in the country, and as an example are the figures from last year where they represented 79.3% of total sales abroad, the second position went to Canada with 7.1% and third is Germany with 4 percent.

Between January and December 2019, 2,642,354 cars were sent to the United States, 2.9% higher than what was recorded in the same period of a year before and which represented 36% of the total manufacturing sales abroad made by the country.

TRACTOCAMIONES, BREAK RECORDS

Between January and October 2019, 175,822 trucks and tractors were produced in Mexico, 19.8% more than what was recorded in the same period of the previous year, the largest increase reported by the sector in five years, according to the National Association of Bus Producers, Trucks and Tractor trucks (ANPACT).

"The increase in cumulative export figures reflects the export potential of the Mexican heavy vehicle industry, 2019 has been a year of positive results for production and export of the Mexican heavy car industry," said Miguel Elizalde, executive president of the ANPACT

Figures from the National Auto Parts Industry report an increase in the production of this type of vehicles of 114% from 2010 to date in the country. This year alone, the agency estimates the manufacture of 185,400 trucks, against 176,800 manufactured last year in Mexico.

“The trucks have grown, they need auto parts and they need an increase in regional content. I think there is a good opportunity there. In addition, the profit margin can be better, ”said Óscar Albín, president of the INA.

NEW PRIZE FOR RAM ’COAHUILENSE’

The Ram Heavy Duty 2020, a truck that is assembled in the FCA complex in Derramadero, south of Saltillo, was recognized by MotorTrend as the “Truck of the Year”, this time it was the 2500 and 3500 models.

This is the second consecutive award after Ram 1500 won the title in 2019, and since Ram became an independent brand 10 years ago, he has won the MotorTrend Truck of the Year title five times.

“Proud to produce the best truck in the world 2020: Ram Heavy Duty Made in Saltillo! We are what we do. Congratulations to all the employees of the Ensamble Saltillo Trucks Plant! ”, Said the company FCA Mexico in its social networks when it announced the news.

This award is one of the most coveted awards in the automotive industry and represents the highest recognition of an extremely competitive segment.

Jaime Guerra Pérez, Secretary of Economy, confirmed that Coahuila will participate in the Detroit 2020 Auto Show, which will be held in June and where the pick-up will be given, taking advantage of the visit to take a promotional tour in the United States and Canada.