Mexican EV Startup Vemo Raises $250M, Betting on Chinese EVs

Vemo, a Mexican startup offering electric vehicle taxis through Uber, has raised $250 million from US private equity firm Vision Ridge Partners. The funding will be used to grow its taxi fleet in Mexico's capital city and expand EV charging infrastructure. The deal signals support for Mexico's adoption of advanced Chinese vehicle technology, which has been a point of contention with the US. Vemo plans to invest $1.5 billion in Mexico over five years, but could shift operations elsewhere if trade barriers are imposed on Chinese-made EVs.

Vemo, a Mexican startup offering electric vehicle taxis through Uber Technologies Inc.’s app, has raised $250 million from US private equity firm Vision Ridge Partners. The funding will be used to grow its taxi fleet in Mexico’s capital city, Guadalajara, and Monterrey, as well as to expand EV charging infrastructure. This investment signals support for Mexico’s adoption of advanced Chinese vehicle technology, which has been a point of contention with the US.

The funding round was led by Vision Ridge Partners, which has about $5.1 billion in assets under management. The deal is Vemo’s seventh electrified transportation platform investment and its first direct foray into Mexico. Vemo plans to invest $1.5 billion in Mexico over the next five years, but could shift operations elsewhere if trade barriers are imposed on Chinese-made EVs. The company’s CEO, Roberto Rocha, stated, "Mexico is a region with extraordinary potential for electrified mobility, as evidenced by Vemo’s success to date" [3].

Vemo, established in 2021, currently employs its own drivers and offers a lease-to-own EV product in partnership with Uber and Didi Chuxing Technology Co Ltd. The company aims to deploy more than 20,000 connectors within its public and private charging network, and over 50,000 EVs in its ride-hailing and commercial fleets’ segments over the next five years.

The funding comes as Latin America faces a slowdown in venture capital deals amid the chaos fueled by US President Donald Trump’s on-again, off-again tariff policies. The deal underscores the potential of the Mexican market for electrified mobility, driven by Chinese technology. Most of Vemo’s EVs are made in China by carmakers such as BYD Co., Anhui Jianghuai Automobile Group Corp., and Guangzhou Automobile Group Co.

Vemo’s strategic partnership with Didi Chuxing Technology Co Ltd. and its focus on improving safety and security measures, including AI-powered dash cams and panic buttons, have contributed to its growth. The company aims to continue diversifying its fleet to include battery-powered vehicles from US automakers like General Motors Co. while maintaining its reliance on Chinese technology.

References:
[1] https://www.nasdaq.com/articles/li-auto-sees-28529-vehicles-sales-august
[2] https://www.stocktitan.net/news/LI/li-auto-inc-august-2025-delivery-ruwxlr3sqr59.html
[3] https://www.bloomberg.com/news/articles/2025-09-02/mexico-s-uber-partner-vemo-raises-more-cash-bets-on-chinese-evs