Scania's rosy outlook for mining in Mexico

Swedish heavy-duty vehicle manufacturer Scania, with a 30-year presence in Mexico, expects to launch its technologies for both autonomous models and 30t and 40t electric vehicles for the mining industry by the end of the year in the country.

Said Vivas, Scania's director of mining solutions in Mexico, told BNamericas he is convinced that these types of cutting-edge solutions have a future in the country because the mining industry has always been a pioneer in the use of new technologies, especially in underground mining.

Despite the hostile policy toward the sector that has prevailed since the previous Andrés Manuel López Obrador administration, Vivas is optimistic about 2025 and envisions a "much more positive" 2026 for mining companies in Mexico. He perceives a greater openness from Claudia Sheinbaum's government to address and resolve the problems that hinder activity, such as streamlining procedures.

BNamericas: Mining companies seek to reduce costs and increase efficiency while being sustainable. What does Scania offer to solve these challenges for mining companies in Mexico?

Vivas: There are two things that I think are very important. They go hand in hand. First, for me, it is to reduce fuel consumption to be significantly more efficient.

But it's not just about reducing fuel consumption. It's about being much more productive. So, our vehicles are highly efficient in terms of fuel consumption, significantly reducing polluting emissions, but they are also much more capable of transporting a larger amount of material in a similar cycle. 

What is this? For the mining client, and specifically for the mining contractor, who are the ones who regularly perform all these types of work and operations in the mine, it's the cost per ton. The most important thing is still the cost per ton. So, that's where Scania plays a very important role. We are able to transport a much larger amount of mineral material at a lower cost in terms of fuel consumption, but in faster cycles.

So, in total, what we know as productivity, the resulting productivity of our offering is very high. And if you also consider the fact that we have very high availability of these vehicles due to the service we provide on-site, we guarantee that productivity.

BNamericas: To put it in numbers, even as a reference, how much more productive are the models Scania offers to the mining sector compared to the competition?

Vivas: I can tell you about very measurable and achievable results in terms of fuel consumption. For example, with respect to vehicles we call yellow machinery... you can achieve fuel savings of up to 68%. I mean, this is brutal. It's as if you were producing five vehicles per unit per year.

BNamericas: How has Scania's portfolio of vehicles and solutions evolved in recent years to serve the mining industry?

Vivas: The portfolio has evolved significantly, but we must also remember that the mining industry isn't just about trucks. The heavy tippers are used to move the material, but the portfolio also includes a rescue vehicle, personnel transport, electric generators, cranes in mixers, concrete buckets for concrete shotcrete and concrete pumps.

In other words, the mining industry has the capacity to accept almost everything we manufacture in our various applications.

Looking ahead, we launched autonomous vehicle technology this year in Las Vegas, which we're going to replicate this year, officially here in Mexico. We're also going to launch autonomous vehicles.

And in the electrification portfolio, we've made a lot of progress... with the solutions we have in 30t and 40t capacities. That is, our heavy tipper portfolio currently has diesel fuel capacities of 30t, 40t and 50t, the largest. And in electric vehicles, we'll have 30t and 40t in Mexico. In electric vehicles, we're already working in Sweden, we have them in Brazil. And in Australia, they're also testing electric and autonomous vehicles. We in Mexico will have those vehicles running by the end of this year.

BNamericas: And when will the autonomous versions of these vehicles be available in Mexico?

Vivas: Everything depends on our partners here in Mexico. I mean, autonomous technology is already operating in Australia, with very strong support. We're going to introduce autonomous technology this year, at the end of November, and we're working with a partner on a pilot project to launch it, most likely early next year.

I can't give you any names, but we're working with them on the pilot project, with one company for now, and with a unit in underground mining.

BNamericas: How important is the mining sector within the approximately 2,000 units that Scania sells annually in the class 8 and fifth-wheel categories?

Vivas: The percentage of the business currently managed by the special applications department is around 11% for Scania in terms of volume, and in terms of revenue, it's a little more, and mining represents approximately 8% of our units.

Yes, we have sites. We do have an on-site presence with First Majestic through a contractor, a service and supervision system. We also have on-site assistance with Fresnillo in San Julián, with several units working in metallic mining. We also have on-site assistance with Autlán for other types of services, and in the non-metallic sector, we're working with several cement companies.

BNamericas: Do you think there will be greater demand for electric and autonomous vehicle solutions in the Mexican mining industry in the future?

Vivas: Yes, absolutely. There are two very important things. The mining industry has a great advantage when it comes to autonomous vehicles in confined spaces. That is, we have a mine and we know the site and the route, say, from the mine face to the crusher, for example.

So, that allows for a controlled flow of trucks. For us, in confined spaces, such as mines or ports, for example, this technology is very useful because they are very repetitive circuits within a confined space. So, that's a very important driver for autonomous vehicles. Number two, the lack of qualified human operators is becoming increasingly complex for mines.

So, the issue of autonomous vehicles becomes very relevant here. That is, up to 100 units could operate autonomously on a circuit. So, this technology allows us to embrace this trend, and mining companies are always leaders or pioneers in the areas of safety and productivity.

It's not just the productivity of the trucks themselves, but it also has a lot to do with the productivity you can gain without human intervention, sometimes.

We do see that this could be well received in Mexico because the mining industry is characterized by that, by using new technologies. They are always pioneers in mining technology, especially underground.

BNamericas: In the mining sector, since you work directly with these clients, policy for the sector has been very hostile in recent years. Do you think this part of the business will grow? What are the expectations? What are you seeing in the business environment for mining in Mexico?

Vivas: Yes, it has been hit hard in Mexico, but there are also positive indicators.

Now, let's talk about those that aren't so positive, but on the positive side, [recently] we had a record price for an ounce of gold, which reached US$3,000. So, I say, it's not all negative because this is something very positive for the industry, and obviously all our clients can benefit from these types of situations in the market.

Also, on the other hand, I think we have two things that are threats to the business: one is the geopolitical conditions... that we all know about, this situation in Mexico with the [US] tariffs, but also something internal, something very domestic, which are the long permitting times for mining operations.

A couple of weeks ago, I had the opportunity to participate in the PDAC, where Fernando Aboitiz [head of the extractive activities unit of the economy ministry] was present. He commented precisely that what had been discussed regarding regulations and legislative initiatives [such as the proposed ban on open-pit mining] is not going to happen, which creates a lot of optimism throughout the mining industry.

So, that fills us with optimism, and we believe that, at least in that sense, we could have a much better year and a much more positive 2026. But still, the advantages of these vehicles can be reflected when there is an increase in production or to reduce costs. In the event of a crisis or a challenge, the mining industry will not stop but will seek to optimize costs. And that is precisely where Scania can help our customers a lot.

I think we have two situations that are out of our hands: the geopolitical or global situation, although Mexico is more affected, and the other domestic ones.