Mexico’s e-mobility momentum is increasingly tied to a broader transformation of the energy and industrial landscape. As renewable energy deployment accelerates and supply chains diversify across North America, electrified transport is emerging as a strategic lever: to cut urban emissions, modernize fleets, and strengthen Mexico’s role as a manufacturing hub for next-generation mobility.
Policy support pushes Mexico´s path to e-mobility. Measures include discounts at toll booths on highways in Mexico City and the State of Mexico, exemptions from the federal tax on new cars (ISAN), and income-tax deductions (ISR) related to the depreciation and use of vehicles powered by rechargeable electric batteries.
Demand for electrified vehicles is rising quickly. According to consulting firm PRODESA, in 2024, sales of hybrid, plug-in hybrid and battery-electric vehicles reached 124,310 units, about 8.3 percent of total vehicle sales, representing year-on-year growth of 68.7 percent. Plug-in hybrids were the fastest-growing segment, reaching a 21percent market share within electrified sales by the end of 2024. For 2025, projections indicate similar overall volumes at roughly 125,162 units, suggesting that Mexico is moving from an early growth phase toward steadier market expansion.
Charging infrastructure is scaling in parallel. According to Electro Movilidad Asociación EMA, Mexico reportedly closed 2025 with 56,726 charging points nationwide, up 25.9 percent year-on-year, driven predominantly by private and residential installations. Market forecasts for charging stations point to a 14.53 percent Compound Annual Growth Rate (CAGR) from 2024 to 2029.
Mexico’s industrial footprint is strengthening the e-mobility outlook. Announcements include a 1.45 US dollar billion investment of Toyota to modernize plants in Baja California and Guanajuato for next-generation Tacoma production including a hybrid version, and BMW’s plans to renew production in San Luis Potosí for electric models such as the iX3. Beyond passenger cars, the Mexico is also preparing domestic production of Olinia, a mini electric vehicle expected to be available to the public from the first quarter of 2027 and assembled fully in Mexico, with strong political support.
Mexico City is a regional frontrunner in fleet electrification of public transport: its Metrobús (BRT) system has already converted initial lines to 100 percent electric buses, and testing for bi-articulated e-buses (27 meters, up to 270 passengers) has been reported for Line 1. By late 2025, “Taruk” was introduced as Mexico’s first certified domestically developed e-bus, designed for demanding urban topography with a stated range of up to 385 km. Nationally, an estimated 400,000 buses will need replacement over the next 20 years, opening a major market for depot solutions and high-performance fleet services.
Mexico’s potential is clear: local production capacity, expanding renewables, and a young, tech-affine customer base could push EV penetration beyond 10 percent by 2026. Yet bottlenecks remain, particularly the imbalance between private and public charging (especially DC fast charging in rural areas), high upfront vehicle costs, and grid constraints that can slow the rollout of high-power charging parks. Solving these challenges, through smarter infrastructure planning, grid investment, and continued market signals, will determine how fast Mexico can scale e-mobility.