Interestingly you can see my location in my profile, and I’ll add that I work for one of the American Big 2.5. It also so happens that I’ve worked for the other whole number in the Big 2.5 in Mexico as well.
Manufacturing: So, Ford, GM, and Chrysler all manufacture there. Nissan has a huge presence. VW is there, too, as you mentioned. The link pretty much describes the importance of manufacturing.
Popular cars include Nissans. I see a lot more of them in Mexico than anywhere I’ve been in the US. There are lots of GM cars (Chevy is typical), Chryslers (Neon is typical), and of course Fords (Focus is typical). Lots of VW’s (Golf is typical, I think they have another name these days). Tsuru is the popular Nissan. As you see, the cars are generally very tiny compared to in the US, even for middle class drivers. They cost significantly more, so that’s a good reason. Of course American SUV’s are popular, too, as are minivans. Actually, other than some of the very, very tiny cars (like the Chevy and some new Korean mini-mini-mini car), some extra VW Beetles, and a fair share of old junkers, you don’t really realize that you’re outside of the USA, car wise.
I’ll reiterate again that cars are expensive in Mexico. New cars cost more probably due to taxes. Used cars there also seem to be a lot more expensive than here in the 'States. This actually leads to the “chocolate” problem, whereby Mexicans (or Americans) sneak US cars into Mexico without paying taxes on them. Some $900 special that would cost $2500 in Mexico means a lot to a lower middle class family (the poor just don’t have cars, and the middle class is about 30% of the population). This influences what you have to do to get a car in.
Mexico has a special economic zone on the border which extends about 20km into Mexico. So this makes Mexico kind of have an internal customs system. To get into the border zone, you can just drive on in. Immigration will wave you through, customs you’ll get a RED or GREEN light as to whether you’ll be inspected for contraband, and then you don’t really have to do anything else. If you want go go beyond the border zone, then, you’ll have to get your immigration visa and temporary import tag for the car. The visa’s pretty much the same thing as you’d get on a plane, and FMV it’s called. The car permission requires a small fee, plus either (1) a cash deposit, the amount which varies on the year of the car, up to $400, or (2) just leave them a credit card number. It’s done at a bank, so it’s safe (no fraud or anything). Once you have this, you get on the highway out of town, and come to the internal customs where you’ll present your papers to get out of the border zone. Oh, the visa and car permission are 6 months, if I recall correctly. You must return the car to an immigration facility or consulate in the US to turn in the car permission, else you foreit your deposit (or get it charged to your credit card).
Highways, then – always pay for the pay road when you have a choice. The roads are better, freer, patrolled by private security (honest private security), and patrolled by the Angels to help you in the case of a breakdown (there’s always an English-speaker with them), and the toll includes insurance for your vehicle while travelling on the highway (you still want regular insurance policy too, though).
Hopefully in 10 years or so you can visit the Gringo Plumiento and have a good, fresh, micro-brew. You know, unless Saudi Arabia’s dried you out.