In the past three years, nearly 3 million low-cost used cars that were originally outside supervision have officially entered the Mexican stock market. However, for those who want to import used cars through gray channels, the "good days" seem to be over...

The latest communiqué issued by the Mexican Ministry of Finance (SHCP) shows that the controversial plan to formalize "Autos Chocolate"(used cars that have entered the country illegally) has come to an end in stages. Official data shows that during the "policy window period" from 2022 to 2025, the Mexican government has completed the legal registration of a total of 2.98 million such vehicles, with a cumulative fee of more than 7.302 billion pesos (approximately 2.5 billion yuan). The funds are said to have been fully allocated to the states for road resurfacing projects.

This huge number means that nearly 3 million low-priced used cars that were originally outside supervision have officially entered the Mexican stock market in the past three years. However, for those who want to import used cars through gray channels, the "good days" seem to be over.

According to the Ministry of Finance's clear statement, the previous preferential law allowing vehicles to be "washed" by paying only 2500 pesos (about 850 yuan) was actually repealed on January 1 this year. From then on, any individual who wishes to permanently import foreign used cars (mainly obsolete vehicles in the United States) into Mexico must strictly abide by the "Regulations on the Permanent Import of Used Vehicles Supervision" updated on November 4 and 5, 2024.

The new rules no longer "turn a blind eye" as in the past. The new law mandates imported vehicles to meet strict physical, mechanical and environmental standards. Although certificates of origin are no longer mandatory, the core change lies in the restoration of tariff barriers.

Currently, the tariff rate has been re-delineated based on the age of the vehicle and the import area:

Border areas: A 1% tariff is levied on vehicles 5 to 9 years old; a 10% tariff is levied on vehicles over 10 years old.

Inland areas: A 10% tariff will be levied on all vehicles over 8 years old.

Brief comment:

In the past three years, the influx of nearly 3 million extremely cheap U.S. used cars has actually severely squeezed the living space of new entry-level cars. Previously, it only took a few thousand yuan to put an old American car on the road legally, which led to the loss of many potential customers who were originally A-class or A0-class new cars.

Now, with the end of the "amnesty" and the restart of tariffs and environmental protection thresholds, the comprehensive cost of imported used cars will rise significantly. This will force some price-sensitive Mexican consumers to re-examine the market and turn their attention to new China brand cars that are extremely cost-effective and provide comprehensive after-sales warranties.

When formulating Mexican market strategies, China exporters can focus on increasing the launch of entry-level models in inland markets beyond the border, taking advantage of the "new versus old" cost advantage in the full life cycle to fill the low-end market gap left by tightening imports of used cars.

Source:https://expansion.mx/economia/2026/01/05/autos-chocolate-dejan-ingresos-mexico-regularizacion

Source: Guangdong Good Car

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