Why invest in Mexico

In general, Mexico offers an attractive business climate, legal certainty, one of the largest free trade agreement networks in the world, and highly-developed industry groups that offer very competitive costs. Besides the sheer volume of its products, Mexico has stood out in Latin America as a producer and exporter of sophisticated manufactured products.

  • Mexico is the 14th largest economy in the world and 2nd in Latin America. By 2050, Goldman Sachs has tipped Mexico to become the 5th largest economy in the world, above countries like the UK.
  • The average growth of the Mexican economy for the 2013-2019 period is 4% with a controlled inflation rate of 3.8%.
  • According to the Global Competitiveness Report 2011-2012 of the World Economic Forum, Mexico ranked on 39th place in macroeconomic environment out of 142 countries.
  • According to Alix Partners, Mexico is the country with the lowest total manufacturing costs among emerging economies and approximately 25% lower than the US.
  • Mexico is the 15th largest exporter in the world; it exports more than the rest of Latin America combined, accounting for more than 40% of the total trade of the region.
  • Mexico is a manufacturing powerhouse: 80% of its exports are in manufacturing
  • Its macroeconomic financials are sound: international reserves of US$163 bn, almost 3 times its foreign debt; low country risk (EMBI +157); Standard & Poors classifies Mexican long term rating in foreign currency as BBB and local currency as A-.
  • Mexico has a network of 12 Free Trade Agreements (FTAs) and an Economic Partnership Agreement that grants it preferential access to 44 countries and over one billion consumers, representing 62.6% of the global GDP.
  • Mexican trade is fully integrated with its North American partners; its geographical location and NAFTA provide access to the largest market in the world, with a regional GDP of US$17,969 billion.
  • Mexico is a safe place for foreign investment; it has signed 28 Investment Promotion and Protection Agreements (IPPA) and Double Taxation Treaties with more than 40 countries.
  • According to the 'Doing Business 2013' publication of the World Bank, Mexico ranks in 48th place from the 185 economies compared on their business environment, performing better than Brazil, China and India.
  • Mexico has a population average age of 26 years. By 2030, the working population in Mexico will reach 62 million, almost the entire population of the UK.
  • There are more than 745,000 university students in engineering and technology programmes; every year, the country graduates 115,000 engineers, more than the rest of Latin America combined, and even the US.
  • The Atlas of Economic Complexity, published by Harvard University and the Massachusetts Institute of Technology, ranked Mexico 20th in the world, above BRIC countries.

 

QUOTES BY RECENT CLIENTS

"At Bombardier, we are convinced that investing in Mexico has been absolutely the right decision. The Mexican government's commitment to the development of the aerospace industry is expressed in various programs of support from organizations like ProMéxico. Bombardier reiterates its commitment to the development of Mexico's aerospace industry."
Réal Gervais
Vice-President of Operations of Bombardier Aerospace México

 "The ability to complement our strategic initiatives with public policies intended to boost Mexico's technological development was a crucial element in our decision to choose this country as the home of one of our four Global Service Centres. An additional advantage is the existence of government programmes to support projects of this nature."
Humberto Rezende
General Director of Ericsson's Mexican Global Service Centre

 “Working together with the Federal and State Government, Ford has been able to make its vision of doing business in Mexico a reality, helping to create new jobs and improving the competitiveness of our company.”

Gabriel López
President and Chief Executive Officer of Ford Motor Company de México

 “The announcement of a Mazda manufacturing plant in Mexico was the product of a long and painstaking study carried out by Mazda executives in Japan, analyzing the different advantages the country offers for expanding our brand in the world. Once the decision was made, it would not have been possible to finalize it and make it a reality had it not been for the support, advice, assistance and guidance of ProMéxico, which was our right hand in making this investment.”

Leopoldo Orellana
President of Mazda Motor de México

 “Given its geographic location, local talent and size of the population, Mexico may in the next years become one of the world’s ten biggest economies. At Schneider Electric, we not only want to be there for it; we want to be an element that contributes value throughout the process with investment in its people and education, generation of jobs and, therefore, economic growth.”

Enrique González Haas
President and CEO of Schneider Electric México y Centroamérica

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