General Motors (GM), one of the most iconic automotive companies, is considering the possibility of relocating part of its production from Mexico and Canada to the United States. This decision arises in response to the tariff threats from U.S. President Donald Trump.
GM’s Chairwoman, Mary Barra, explained in a virtual conference that the company has production capacity available in the United States to undertake this change.
“We have capacity in the United States to transfer some of it. We also sell trucks globally, so we can study the origin of international markets. There are things we can do to minimize the impact if tariffs are imposed on Canada or Mexico,” Barra detailed.
“It is clear that we have a lot of common ground, and we appreciate the dialogue. We believe the president wants to use policies and regulations to strengthen, not harm, domestic manufacturers like GM,” she added.
How would the “Trump Effect” impact automotive production?
The “Trump Effect” looms as a direct threat to the automotive industry in Mexico. During his first term, Trump had already pressured automakers to relocate their operations to the United States under promises of tax incentives and high import tariffs.
In this context, GM is seeking strategies to mitigate risks, including adjustments to its supply network and a selective relocation of manufacturing processes. Barra also expressed being “hopeful” that diplomatic talks between Claudia Sheinbaum’s administration and the U.S. government could prevent the imposition of tariffs.
“Whatever happens on these fronts, we have a wide range of combustion and electric vehicles that are gaining market share, and we will remain agile,” Barra concluded.
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What does Mexico represent for General Motors?
Mexico is a key player for General Motors in terms of production and exports. In 2024, the company manufactured 22.3% of light vehicles in the country, consolidating its position as the leading automotive producer in the Mexican market. Its plants in the country produce iconic models such as the Chevrolet Silverado and GMC Sierra, which are highly demanded both locally and internationally.
Additionally, GM maintains a strong presence in the Mexican market. In 2025, it is projected that the GMC brand will generate revenues of over $89.8 million in the passenger car segment, $55.3 million in pickup trucks, and $34.5 million in SUVs.
General Motors de México has been operating in the country for over 89 years. It has four manufacturing complexes (Toluca, Silao, San Luis Potosí, and Ramos Arizpe), a Regional Engineering Center in the State of Mexico, and headquarters in Mexico City, as well as a network of 330 distributors in Mexico and 48 in Central America and the Caribbean.
It employs more than 25,000 people, reflecting its vast reach and relevance in the national automotive industry.
What are General Motors’ main brands?
Among its most recognized brands are:
- Buick,
- Cadillac,
- Chevrolet,
- GMC,
- GM Daewoo,
- Holden,
- Hummer,
- Opel,
- Pontiac,
- Saab,
- Saturn,
- Vauxhall
- Wuling
