Electronics is one of the fastest growing industries in Mexico in terms of export potential and employment generation. Currently, Mexico is the second largest supplier of electronic products to the US market, which comprises audio and video, telecommunications, computer equipment and its parts.
There are over 730 manufacturing plants related to the electronic industry in Mexico, located mainly in the northern region in the states of Baja California, Chihuahua and Tamaulipas. Eight out of the 10 world’s largest manufacturing service suppliers operate in Mexico, including firms such as Flextronics, Jabil Circuit, Celestica and Sanmina SCI.
The electrical-electronics sector is comprised by the following:
Total exports for the sector: $91 million USD (2008), or 30% of Mexico’s total exports.
Companies Established in Mexico
The major global electronics leaders have operations in Mexico because it enables them to serve the US and Canadian markets. Nine of the top ten transnational electronics manufacturing services (EMS) are established in Mexico. Samsung, LG, Toshiba, Foxconn, Flextronics and Intel are some of the global companies with presence in Mexico.
According to data from INEGI (National Statistics and Geography Institute), there are 945 economic units from the industry in Mexico, concentrated in Baja California, Chihuahua, Jalisco, Mexico City, Sonora, Tamaulipas and Nuevo Leon. Moreover, the electronics manufacturing industry creates close to 458 thousand jobs in the country.
Attraction of Foreign Direct Investment
According to figures from the Ministry of Economy, between 2000 and 2013 accumulated foreign direct investment in the electronic industry summed 16.198 billion dollars, concentrated mainly in the segment of communications, followed by computers and office and audio and video in third position.
In 2013 alone, foreign investment in this industry reached 1.183 billion dollars, mainly from the United States and Japan.
Strengths of the Mexican Electronic Industry
•Talent. According to the National Association of Universities and Higher Education Institutions information, annually 110 thousand students of engineering, manufacturing and construction graduated from Mexican institutions. From UNESCO's 2012 data, Mexico had 26% more graduates per capita of such programs than in the United States.
•Competitive Costs. Mexico stands out as the country with the lowest operation costs in the Americas, in the manufacturing of electronic components and equipment, according to a study by KPMG.
Other Industries Clients
American Industries Group has helped over 200 global companies to successfully establish and run manufacturing operations throughout Mexico since 1976 through Site Selection, Administrative “Shelter” services and Industrial Real Estate.
Our commitment is to provide high quality value added services that facilitate the successful establishment and operation of international companies in Mexico.
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