Mexico could become the largest exporter of electric vehicles (EVs) to the United States in 2024 after EV shipments rose as much as sales in the first half of the year.

Data from the U.S. Department of Commerce shows that Mexico shipped $3.127 billion worth of electric vehicles to its northern neighbor in the first six months of the year, representing an impressive 172% increase in revenue from electric vehicle exports compared to $1.15 billion in the same period in 2023.

Between January and June, Mexico was the second largest exporter of electric vehicles to the world’s largest economy after Germany.

German electric car exports to the US rose by only a relatively low 7.8% year-on-year, reaching $3.213 billion – just $86 million more than Mexico’s revenue.

South Korea was the third-largest exporter of electric vehicles to the United States in the first six months of the year, followed by Japan and Belgium.

The United States imported a total of $11.95 billion worth of electric vehicles during this period, an increase of 36.1% over the previous year.

If Mexico maintains its strong growth in electric car exports in the second half of 2024, it could end the year as the largest external supplier of electric vehicles to the United States. This would be another achievement for Mexico, which has dethroned China to become the largest overall exporter to the United States in 2023.

Automakers that produce electric vehicles in Mexico include Audi, BMW and General Motors.

Foreign automakers with plants in Mexico benefit from the US-Mexico-Canada Agreement, the free trade agreement that replaced NAFTA in 2020.

Tesla and BYD – the world’s two largest electric vehicle makers – have announced plans to open factories in India, but it is unclear when this might happen.

Mexico’s electric vehicle exports increased by more than 18,000% in just 4 years (yes, really!)

Data from the United States shows that the value of electric vehicles exported from Mexico to the United States in 2019 was only $21 million.

Revenue rose slightly to $25 million in 2020 – when the COVID pandemic disrupted auto production – before jumping to $1.732 billion in 2021, an increase of 6,828% in just one year.

The value of Mexican electric vehicle exports rose to $2.346 billion in 2022, up 35% from the previous year, before rising to $3.811 billion in 2023, an annual increase of 62%.

The increase in electric vehicle revenue in Mexico between 2019 and 2023 was a whopping 18,047%.

If the value of Mexican electric car exports to the United States in the second half of 2024 is equal to that of the first half, the turnover will be $6.254 billion.

This figure would represent an increase of almost 30,000% over 2019.

In the coming years, the numbers could be even more impressive – and staggering.

With reports from El Economista