Mexico’s aerospace sector has 368 manufacturers: FEMIA

Mexico‘s aerospace sector grew from 100 companies and manufacturing organizations in 2004 to 368 by mid-2022, according to data from the Mexican Federation of the Aerospace Industry (FEMIA). Currently, these companies mainly include manufacturers, maintenance-repair revision (MRO) facilities, technical schools, research centers, universities, and related service providers.

FEMIA estimated that in 2019 foreign direct investment by country of origin was 48% from the United States and 36% from Canada.

For Canadians, having key clusters in Mexico is important, refers Global Affairs Canada. While the Mexican market is very price sensitive, investment in Mexico for Canadian companies requires being able to supply OEMs or Tier 1s.

Aerospace sector

The goals set by the Ministry of Economy and the aerospace sector for 2025 include:

• Place the country among the first 10 countries in terms of exports.
• Export more than $12 billion USD of aerospace goods
• Have a strong index of the industry job base and foster its growth.
• Maintain a value-added higher than 20% in the sector.

One of the challenges for Mexico is to attract cutting-edge projects or those with higher technological content, as well as to expand the local supplier base.

Global Affairs Canada believes that Canadian companies could bring cutting-edge technology to aerospace companies located in Mexico.

According to the U.S. Department of Commerce, the Mexican aerospace

Baja California is the largest, with more than 125 aerospace companies supporting more than 37,000 direct jobs prior to the pandemic

At the same time, other Mexican states are moving forward to obtain a market niche in this industry, such as the Bajio Aero cluster (León, Guanajuato) and the Sinaloa Aerospace Cluster (Mazatlán); today, the industry has a presence in 20 of the 32 states.

Learn more about Why will manufacturing in Mexico be a competitive advantage for you.

Source: Opportimes