According to a new report by UnivDatos, The Mexico Two-Wheeler Market is expected to reach USD million in 2033 by growing at a CAGR of 6.7% during the forecast period (2025- 2033F). The Mexican two-wheeler market consists of internal combustion engine (ICE) motorcycles, scooters, and electric pathways; 2024 has been quite overwhelming to the market, where about 1.9 million units were sold. Increasing urban traffic, inadequate capacity of the available transport systems, and the soaring need to afford yearning modes of personal transport are the driving factors in the market. The scooters and motor-bicycles are less expensive to maintain and can be navigated through traffic faster, making them ideal for inner-city commuting and delivering items. The volume segment is controlled by local manufacturers such as Italika, whereas electric variants are experiencing a market penetration with the support of government policies and awareness of environmental issues.

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Recent years have seen more investment and consolidation in the two-wheeler ecosystem in Mexico. In December 2024, Yadea announced an $80 million investment to set up a two-wheeler assembly plant in the country. Electric mobility startup Vemo committed $1 billion to grow its charging infrastructure in major urban centers by 2028. Additionally, Italika increased its production capacity at its Toluca facility in early 2025 to meet rising demand in both domestic and Central American markets. This shows strong confidence in the long-term growth of the segment. These changes are reshaping the competitive landscape, attracting new entrants and allowing for more localization of both ICE and electric vehicle production.

The most promising part of the market is the electric two-wheelers, which are expected to increase at a CAGR of more than ten percent in the next 10 years. This momentum is being driven by the increasing fuel prices, the proliferation of urban charging networks, and higher fleet electrification (particularly in logistics and delivery companies). The cost of operation of an electric scooter is also low; the government subsidizes it, and it is ideal to be used in a city to commute over short distances it travels. With the falling prices of batteries and increasing local production, it would be safe to assume that this segment would take up the core of the two-wheeler market of Mexico.

Segments that transform the industry

Based on Propulsion, the market is segmented into ICE, and EV. Among these, the EV segment is the fastest growing market segment. The primary driver of the electric two-wheeler (EV) sector in Mexico is strong government support for eco-friendly mobility through incentives, subsidies, and infrastructure development. With the worsening problem of pollution and the greenhouse effect in the city, the country's governments are promoting the use of the electric car with the help of tax relief, the waiver of import duty, and the EV purchase Grant. Simultaneously, the presence of charging infrastructure in the open and closed spaces, more precisely those of Mexico City, Guadalajara, and Monterrey, overcomes the feasibility of making the electric two-wheelers easier and convenient to use in the daily commutes of individuals. The overall correlation of such initiatives is very limited to the cost of entering the business of EV adoption, and has led to a positive growth in the segment.

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According to the report, the impact of Mexico Two-Wheeler has been identified to be high for the Central Mexico area:

Central Mexico, including important states such as Mexico City, Estado de Mexico, Querataro, Puebla, Guanajuato, and Jalisco, is the economic and the cutting edge of industry of Mexico; it is also a hot spot when it comes to the adoption of two-wheelers. High population density, urban congestion, and an expanding middle class describe the region and thus the strong demand for cheap and flexible means of personal mobility, such as motorcycles and scooters. It also becomes the center of electric mobility, where the EV infrastructure is growing, and government initiatives dedicated to green transport, as well as the usage among delivery services and young people commuting in urban areas, are increasing. Ample manufacturing capacities and availability of skilled manpower in the region also make Central Mexico an ideal administrative hub in terms of two-wheeler manufacture and supply.

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