How are cars finished in Mexico?
Local Moody’s stressed that 7 out of 10 cars sold in Mexico are made on credit and about 80% of these sales are made with the financial arms of the brands, which leaves banks with a lower percentage of the business.
“From January to June 2025, the financial ones sold around 373,000 cars when the banks financed about 125,000,” Gomez added.
The car credit has had a good dynamism in recent months. In June alone, the placement of this type of credits had a 25% increase compared to last year.
BancoPpel will have the challenge of growing in a market that already has commercial alliances such as those made by BBVA, Inbursa and Santander, who signed with luxury brands or Chinese brands that are growing in the market.
BancoPpel’s commitment for more consumer businesses increases after at the beginning of the year entered the placement of mortgage loans, segment in which it already registered 4,423 million pm at the end of June.
BancoPpel will have to compete with commercial alliances
In recent months, before the arrival of Asian players who acquired relevance in the Mexican market, some banks chose to make commercial alliances.
BBVA, for example, signed an alliance with ByD to give financing to SUV -type vehicles, sedans and electric hatchbacks and plug -in hybrids. The bank is the largest automotive loan placer in the country.
Inbursa, by Carlos Slim, is the second bank with the second largest automotive loan portfolio placed in the market. The bank has the commercial alliance with MG.
Banorte formalized this year a commercial alliance with the Chinese car firm Jetour Soueast while Santander opted for luxury cars such as Maserati and Volvo.
“Big banks and their alliance with shipowners on preferential interest rates, insurance included, flexible deadlines, among other benefits, can generate pressures on institutions with less anchored capacity,” said the Cial Dun & Bradstreet firm.
The competition in the credit portfolio will cause banks to go to both ends: financing for luxury vehicles and mass financing with new Chinese brands.
“If so, it would be left in a vulnerable position to players without strategic alliances.”
