State of Guanajuato: Heartland of Mexico’s Automotive Industry
Located in central Mexico between three of the country’s most important cities—Monterrey, Guadalajara and Mexico City—in the area known as the “Diamante de México,” the State of Guanajuato is not only home to some of the country’s most important cultural and historical sites but is also a key area for industry. Within a 400 km radius of the state is 80% of the Mexican market, 70% of industry and foreign trade, and 60% of the country’s entire population. It is also where 70% of the automotive industry takes place, with four OEM’s in the state and is also a key area for agriculture, leather goods, footwear, and tourism.
This privileged location ensures excellent connectivity, making it a hub for industry and agriculture. Two of the most important land routes in Mexico cross the state, and it is only two hours away from all the cities located in central Mexico. It also has railways that connect with the country’s main ports and border points, and has international air connectivity with direct flights to Dallas, Houston, Chicago, Detroit and Los Angeles.
More than one million vehicles were produced in the state’s leading industrial cities of Silao, Salamanca, and Celaya in 2019 alone by the world-class companies that call it home. These include General Motors, Mazda, Toyota and Honda, making it a leader in automotive manufacturing Mexico. The main processes carried out in the area include metal stamping, plastic and rubber injection, rubber extrusion, assembly, painting and engineering.
The region represents Mexico’s sixth-largest economy in terms of GDP and received over US$835.9 million in foreign direct investment in 2019. Nearly half of this amount came from the United States, making it the region’s most important investor, and $945.9 million of this were for investments in the transportation equipment manufacturing sector.
The entire state, and especially the capital city of Guanajuato, is a leading tourism destination due to its rich cultural and historical heritage, unique architecture and picturesque panoramas. The state is home to two UNESCO World Heritage Sites, six magical towns, and four archeological zones, making it the fifth most-visited state in the country. As the birthplace of famous Mexican muralist, Diego Rivera, and the site of the first battle of Mexico’s war for independence, the colorful colonial city has a vibrant and diverse offering of cultural and tourist activities.
Additional factors that contribute to it being such a key area for Mexico manufacturing is its robust industrial and public services infrastructure. It has 35 industrial parks, in addition to 38 private hospitals, 438 medical centers, and 125 institutions with graduate programs. All of this gives the area a high quality of life for its 2.6 million inhabitants, in addition to its excellent climate, making it a great option for international companies in Mexico looking to relocate or establish operations, especially those in the automotive industry Mexico.
By Gerardo González | Guanajuato Regional Director | American Industries Group®
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