Latin America and the Caribbean: Passenger Car Market 2024

Passenger Car Market Size in Latin America and the Caribbean

The Latin American passenger car market fell sharply to $X in 2021, which is down by -39.3% against the previous year. In general, consumption continues to indicate a abrupt descent. The level of consumption peaked at $X in 2019; however, from 2020 to 2021, consumption remained at a lower figure.

Passenger Car Production in Latin America and the Caribbean

In value terms, passenger car production expanded significantly to $X in 2021 estimated in export price. The total output value increased at an average annual rate of +2.0% from 2012 to 2021; however, the trend pattern remained consistent, with only minor fluctuations being observed in certain years. The pace of growth was the most pronounced in 2013 when the production volume increased by 16% against the previous year. Over the period under review, production attained the peak level at $X in 2019; however, from 2020 to 2021, production stood at a somewhat lower figure.

Passenger Car Exports

Exports in Latin America and the Caribbean

In 2021, passenger car exports in Latin America and the Caribbean surged to X units, rising by 48% against 2020 figures. In general, exports, however, continue to indicate a abrupt decline. The growth pace was the most rapid in 2020 when exports increased by 69%. The volume of export peaked at X units in 2013; however, from 2014 to 2021, the exports remained at a lower figure.

In value terms, passenger car exports reached $X in 2021. The total export value increased at an average annual rate of +1.9% over the period from 2012 to 2021; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The pace of growth appeared the most rapid in 2017 when exports increased by 33%. The level of export peaked at $X in 2018; however, from 2019 to 2021, the exports remained at a lower figure.

Exports by Country

In 2021, Mexico (X units) was the major exporter of passenger cars, committing 65% of total exports. Brazil (X units) took a 27% share (based on physical terms) of total exports, which put it in second place, followed by Argentina (5.9%).

Exports from Mexico decreased at an average annual rate of -10.3% from 2012 to 2021. Brazil (-1.7%) and Argentina (-14.6%) illustrated a downward trend over the same period. While the share of Brazil (+14 p.p.) increased significantly in terms of the total exports from 2012-2021, the share of Argentina (-4.6 p.p.) and Mexico (-9.2 p.p.) displayed negative dynamics.

In value terms, Mexico ($X) remains the largest passenger car supplier in Latin America and the Caribbean, comprising 90% of total exports. The second position in the ranking was taken by Brazil ($X), with a 7.4% share of total exports.

In Mexico, passenger car exports increased at an average annual rate of +3.5% over the period from 2012-2021. The remaining exporting countries recorded the following average annual rates of exports growth: Brazil (-1.4% per year) and Argentina (-14.1% per year).

Export Prices by Country

In 2021, the export price in Latin America and the Caribbean amounted to $X per unit, reducing by -31.1% against the previous year. Over the period under review, the export price, however, posted a prominent increase. The most prominent rate of growth was recorded in 2019 an increase of 130% against the previous year. As a result, the export price reached the peak level of $X per unit. From 2020 to 2021, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2021, amid the top suppliers, the country with the highest price was Mexico ($X per unit), while Brazil ($X per unit) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Mexico (+15.4%), while the other leaders experienced more modest paces of growth.

Passenger Car Imports

Imports in Latin America and the Caribbean

In 2021, supplies from abroad of passenger cars was finally on the rise to reach X units for the first time since 2017, thus ending a three-year declining trend. Over the period under review, imports, however, showed a abrupt decrease. The pace of growth was the most pronounced in 2017 when imports increased by 12%. Over the period under review, imports attained the maximum at X units in 2013; however, from 2014 to 2021, imports remained at a lower figure.

In value terms, passenger car imports surged to $X in 2021. In general, imports, however, continue to indicate a perceptible curtailment. Over the period under review, imports attained the maximum at $X in 2013; however, from 2014 to 2021, imports failed to regain momentum.

Imports by Country

In 2021, Chile (X units) represented the main importer of passenger cars, creating 28% of total imports. It was distantly followed by Colombia (X units), Brazil (X units), Argentina (X units), Peru (X units), Ecuador (X units) and the Dominican Republic (X units), together comprising a 49% share of total imports. Bolivia (X units), Panama (X units), Jamaica (X units), Uruguay (X units) and Guatemala (X units) held a relatively small share of total imports.

From 2012 to 2021, average annual rates of growth with regard to passenger car imports into Chile stood at +5.9%. At the same time, Panama (+59.2%), the Dominican Republic (+11.6%), Bolivia (+8.9%), Jamaica (+8.1%), Ecuador (+6.3%) and Guatemala (+3.7%) displayed positive paces of growth. Moreover, Panama emerged as the fastest-growing importer imported in Latin America and the Caribbean, with a CAGR of +59.2% from 2012-2021. Colombia experienced a relatively flat trend pattern. By contrast, Peru (-1.3%), Uruguay (-2.1%), Argentina (-12.2%) and Brazil (-14.6%) illustrated a downward trend over the same period. Chile (+19 p.p.), Colombia (+5.4 p.p.), the Dominican Republic (+4.1 p.p.), Ecuador (+3.7 p.p.), Peru (+3.5 p.p.), Bolivia (+2.9 p.p.), Panama (+2.7 p.p.) and Jamaica (+1.7 p.p.) significantly strengthened its position in terms of the total imports, while Argentina and Brazil saw its share reduced by -6.7% and -12.2% from 2012 to 2021, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest passenger car importing markets in Latin America and the Caribbean were Chile ($X), Brazil ($X) and Colombia ($X), together comprising 36% of total imports. These countries were followed by Argentina, Peru, the Dominican Republic, Ecuador, Panama, Guatemala, Uruguay, Bolivia and Jamaica, which together accounted for a further 28%.

In terms of the main importing countries, Panama, with a CAGR of +49.7%, saw the highest growth rate of the value of imports, over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The import price in Latin America and the Caribbean stood at $X per unit in 2021, surging by 39% against the previous year. Over the last nine years, it increased at an average annual rate of +3.9%. As a result, import price reached the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2021, amid the top importers, the country with the highest price was Guatemala ($X per unit), while Bolivia ($X per unit) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Brazil (+3.0%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform

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