Nearshoring is still a very profitable practice for the Mexican industry. Would you like to take advantage of its benefits?
Learn about the factors that influenced the great development of nearshoring and ask yourself how you can use it to your company’s advantage.
Read on to learn more…
Some economic and political factors have influenced the development of nearshoring in Mexico. The arrival of foreign companies is due to nearshoring and its benefits are mainly taken advantage of by the northern states of Mexico.
Foreign investment has not been long in coming and we are constantly receiving news about new manufacturing plants, company expansions and technological innovation in manufacturing processes.
How did nearshoring come to Mexico?
As a result of the health crisis and the geopolitical conflicts between Russia and Romania, many companies were left without some supplies and others without the relocation of their production.
For this reason, many companies began to look for the best options to generate their productions and Mexico fulfilled the necessary. Businessmen in the north of the country have benefited the most from the practice of nearshoring, mainly because of the proximity to the United States and Canada. But also because of the important industrial parks they have and their technological innovation.
These are some of the factors that have influenced the arrival of foreign companies in Mexico
In order of importance, the factors that influenced the reproduction of nearshoring in Mexico are:
Trade tensions between the United States and Canada.
The trade conflicts between the North American and Asian countries ended up breaking off their commercial relations. And with it, the nearshoring agreements that companies from both countries had. This despite the fact that China was the first option for the US.
The consolidation of a trade agreement between Mexico, the U.S. and Canada allowed trade exchanges between countries. But, above all, the implementation of projects that benefit trade and the supply chain, such as nearshoring.
Much of the foreign investment is thanks to the T-MEC and the agreement’s favorable rules.
The COVID-19 pandemic
Although the pandemic proved to be a catastrophic event for mankind, in business terms it was a very good time for many. Many operations were hindered, but many others made the most of it, such as those in Mexico.
These are the main causes of the great development of nearshoring in Mexico, and with it, of the manufacturing industry, and Mexican industry in general.
Would you like to take advantage of the great impact of nearshoring?
We can help you!
At Grupo Zeu we are a shelter company, in charge of introducing foreign companies and their operations to the Mexican market. From documentation, legal processes and even recruitment, we take care of everything you need!
We provide integral services for all types of companies. Our areas of expertise are quality control, marketing, accounting and human resources.
Are you interested in our services? It is very easy to access them, just visit our website to know all the details.
If you prefer a direct service, then give us a call! We will attend you personally.
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