Each year, hundreds of thousands of cars are imported illegally into Mexico from the United States. These unregistered “chocolate cars” — a play on the word “chueco,” which means “crooked” in Spanish — not only crowd out the national light vehicle market, but often fail to meet pollution and safety standards and can be used in serious crimes.

The used car industry in the U.S. is partially responsible for allowing the vehicles to enter Mexico at extremely low prices. But the Mexican government also contributes to the influx by occasionally legalizing their circulation. A regularization program for used imported vehicles was recently extended to 2026 in the final days of the Andrés Manuel López Obrador administration.

Guillermo Rosales Zárate, executive director of the Mexican Association of Dealerships (AMDA) and Juan Vega Gómez, a senior researcher at the National Autonomous University of Mexico (UNAM), joined Tony Payan on “México Centered” to explore the chocolate car phenomenon and the black and gray markets that emerge along the U.S.-Mexico border in the absence of critical binational coordination.

This conversation was recorded on July 22, 2025.

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More about Tony Payan, Ph.D.: https://www.bakerinstitute.org/expert/tony-payan

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