Uber-partner Vemo raises $250m to accelerate Mexico EV expansion

Vemo, a Mexico City-based EV taxi operator, has raised US$250 million to expand its fleet and charging infrastructure in Mexico.

The investment, led by US private equity firm Vision Ridge Partners, comes as venture capital activity slows in Latin America.

Vemo operates EV taxis through Uber’s app in cities including Mexico City, Guadalajara, and Monterrey, using mainly Chinese-made vehicles from brands such as BYD, JAC, and GAC.

The company also has a partnership with China’s Didi Chuxing and offers a lease-to-own EV program for drivers in partnership with both Uber and Didi.

Vemo’s co-founder said the company may reconsider its focus on Mexico if new tariffs make Chinese EVs less viable, as the Mexican government has proposed higher tariffs on imports from China in its 2026 budget.

Vision Ridge said this is its first direct investment in Mexico’s electrified transport sector.

Previous investors in Vemo include Riverstone Holdings and Orion Infrastructure Capital.

🔗 Source: Bloomberg

🧠 Food for thought

1️⃣ Infrastructure bottleneck creates massive opportunity despite rapid market growth

Mexico’s EV market is surging, with an 83.8% increase in electrified vehicle sales in the first half of 2025, but charging infrastructure hasn’t kept pace 2.

The country has only 47,456 EV charging points, with 92.5% being private, creating a concerning ratio of 41 vehicles per public charger compared to the global average of 2.6 2.

This infrastructure gap translates directly into user anxiety, with 87% of EV users finding long-trip planning more challenging than with gasoline vehicles 2.

Mexico needs $1.73 billion annually over the next six years just to develop adequate EV charging infrastructure, presenting a substantial market opportunity for companies like Vemo that are building charging networks 3.

Vemo’s $250 million raise positions it well to capture this infrastructure opportunity, planning to deploy over 20,000 connectors within its charging network over five years while competitors face the same fundamental constraint.