Automotive industry Mexico: The PSA Group will electrify its entire fleet of vehicles

The automotive industry in Mexico will bet heavily on alternative energies, as announced by the PSA Group which will start in 2019 with the launch of the electrified versions of all commercial vehicles of the Citroën and Peugeot brands and the update of the two electric vans that already are in the market: Berlingo and Partner.

PSA Group, the French conglomerate that brings together DS, Peugeot, Citroën, Opel and Vauxhall, announced the acceleration of its electrification process of the range. Thus, all the models developed from 2019 onwards will have their electrified counterpart, be it hybrid or entirely electric.

The group says that in two years they will launch 15 new electrified models, of which eight will be plug-in hybrids, such as the DS 7 Crossback E-Tense 4x4, and the plug-in versions of the Peugeot 3008 or the Citroën C5 Aircross. The other seven models will be 100% electric, and among them we can highlight the DS 3 Crossback E-Tense.

In the year 2025, the PSA Group will offer electric versions of its entire range of commercial vehicles, both under the Citroën brand and under the Peugeot brand. The strategy includes the electrification of both the range of medium-sized vans, Jumpy and Expert, as well as the superior size Jumper and Boxer, and the updating of the electric versions of the Berlingo and Partner - already available on the market.

For the PSA Group, the electrification strategy of the commercial range involves the conversion of its current models to electric versions ahead of conventional and plug-in hybrids, according to Philippe Narbeburu, vice president of PSA's business unit. "The objective in terms of autonomy is to cover 85% of the uses required by our customers," he added. For small utility companies that travel greater distances reserves the technology of soft hybridization based on a 48 volt system, more affordable and better adapted to these jobs, according to PSA.

This plan is based on the use of two platforms, the CMP and the EMP2. According to reports from France, these two architectures will be able to integrate any of the power trains that are needed, whether electric, hybrid or internal combustion.

The most important thing is that this platform allows the construction of vehicles on the same production lines, with the CMP covering the smaller models and the EMP2 for SUVs, sedans and coupes. By 2025, as anticipated with DS, Grupo PSA wants a 100% electric portfolio for its brands.

As you can see, the automotive manufacturing in Mexico is becoming an important industry with new technologies and investments to offer consumers new alternatives that are more economical and above all that are sustainable with the planet. If you want to know more information about manufacturing or the automotive industry in Mexico, you can visit the next website: http://www.americanindustriesgroup.com

Source: Auto Cosmos, Hibridos y Electricos 

Mexico manufacturing: Mexico could become a power

Mexico is eighth in the world in manufacturing, but must still add to the trends of the industry. This may change this year.

Mexico is the eighth country with the largest manufacturing industry in the world and was, at the request of Chancellor Angela Merkel, the guest country in the 2018 edition of the Hannover Fair in Germany, considered the largest industry and manufacturing event of the orb. More than 100 Mexican companies took the representation of the country in the meeting, which generates 5.6 million global business contracts every year.

The country is facing the opportunity to become a manufacturing power if it manages to rise today from the trend of Industry 4.0, a term established precisely by the organizers of this meeting in Germany, in which technology is the axis to strengthen the capacity of manufacturing companies, considers Marc Siemering, who is vice president of Industry, Energy and Logistics of the German company Deutsche Messe.

Mexico is the fourth country in the world that most imports industrial robots, according to the World Trade Organization (WTO), but, despite this, in the field of cobots (collaborative robots, capable of interacting with humans in the days labor), the country is just taking its first steps.

"This industrial transformation that we are living will lead workers to change their work roles, so they must be prepared to perform in a digital environment that will be more intense," says the director of Deutsche Messe.

Manufacturing in Mexico represents about 20% of GDP and comes from sectors such as automotive, beverages, food and electronics, which will be represented in Hannover, as well as aerospace and energy.

Despite reaching 70 years and the communications revolution, the Hannover Fair is still in force in the industry. Direct contact is the best for business, says Siemering, who adds that, by 2018, as organizers decided to give a boost to the editions of past years in five areas: digital factories, energy, research in new technologies, industrial supply and integrated automation.

The other favorable thing for the business is the opening of borders, reason why the German director affirms that they will work from his trench to avoid the advance of the protectionism. "We are promoting openness, cooperation among countries within the segment in which we find ourselves. We do not conceive, in any way, that a border closure can be positive for doing business ".

If you want to know more information about offshore manufacturing in Mexico, visit the next website: http://www.americanindustriesgroup.com/ 

Source: Forbes

Start up business in Mexico: business opportunities for Mexico in the Trump era

How to do business in Mexico in the era of Donald Trump? The president of the United States opens new doors of opportunities for national and international entrepreneurs.

Despite his threatening words, the ideas of the businessman are not entirely harmful. Much to his regret, the drastic measures that Trump seeks to implement lay the foundations for a new flourishing in various sectors of the economy.

What are the opportunities to start up business in Mexico? Here are the sectors in which it is convenient to invest in the coming years:

1. Online commerce

Donald Trump wants to revoke the North American Free Trade Agreement, but it does not matter because this is the 21st century and the entire planet is your market thanks to the magic of the Internet.

2. Tourism

The dollar rises and the peso goes down, but that suits some Mexicans. This devaluation will be positively reflected in the tourism sector, as more foreigners will travel to Mexico because it is a cheap destination. It is one of the best times to put a hotel or restaurant in a tourist destination.

3. Installation of solar cells

The prices of oil on the floor and gas prices in the air. The so-called clean energies, such as solar, will gain a lot of force in the coming years. This alternative is already a reality in Mexico.

4. Education

In the information age, competition will be increasingly fierce. That is why it is expected that the educational sector will experience a boom in the coming years. Whether schooled or not, education represents one of the best business opportunities in Mexico.

5. Agriculture

Contrary to what Trump often says in his speeches, the FTA, in fact, gives competitive advantage to American products, at least in the agricultural sector. If this treaty really comes to an end, there will be a new opportunity to re-negotiate exports of farm products.

Neither Donald Trump, nor the prices of gasoline nor the financial uncertainty are powerful enough to bury the entrepreneurs. Choose any of these business opportunities in the Trump era and see why undertaking it in times of crisis is a good idea. If you want to know more information on how to start up business in Mexico and all the process, visit the next website: http://www.americanindustriesgroup.com/

Source: City Express

Aerospace industry in Mexico: Chihuahua's opportunities 2018

Chihuahua ranks third nationally in the aerospace industry, with a total of 39 established companies that generate just over 13 thousand direct jobs and a foreign investment of around one million 500 thousand dollars for the development, repair and design of parts or instrumental of the aircraft.

Aerospace industry in Mexico

The aerospace industry today represents one of the most dynamic at the state level, its market has been estimated in billions of dollars and is closely linked to continuous innovation and the development of new technologies and cutting-edge materials, contributing to relevant way in the economic and social development of each of its companies.

Although the date has not yet been scheduled for a plane to be built and take off from the state of Chihuahua, this sector of the aerospace industry is setting a trend in the generation of jobs and economic development, as the state has achieved exports that exceed one billion of annual dollars with the development of different devices for aircraft.

Among other capacities, companies in composite materials, sheet metal, aerostructures, forge, foundry, heat and surface treatments predominate in the state, and the main export destinations are the United States, Germany, France and Canada as well as some states of the republic, explained the Undersecretary of Innovation and Economic Development, Jesús Mesta Fitzmaurice.

There are currently 18 states of the Republic that excel in the aerospace sector, with Baja California and Querétaro coming first, leading the list, followed by the state of Chihuahua that has managed to advance nationally in the production of artifacts for planes.

Chihuahua's manufacturing services

Chihuahua belongs to the north-central corridor that is associated with the super-carriers of Texas-New England-Montreal, who carry out or install some of the main assemblers and that, due to its innovation in parts manufacturing, guides technological platforms to the development of devices and high complexity assemblies.

The entity manufactures parts and fuselages, electrical-electronic, interior, mechanized, which are made in different companies among which some stand out as Labinal, Safran Group, Cessna Aircraft, Textron International, American Industries Group, as well as others that deal with the design or preparation of materials for aircraft.

Jesús Mesta commented that the priority of the State Government is to encourage foreign companies to continue investing in Chihuahua production, as they continue in constant innovation and provide a new technical-educational program to benefit the talents of the entity in companies that excel on the aerospace issue.

From 2012 to 2018 there has been a notable trend in the increase of people traveling on airplanes, and that is why the importance of the sector at present, due to the facilities and new routes that are foreseen to continue detonating the economic development for the entity.

Only in 2017, more than two thousand 583 people traveled by plane from the state of Chihuahua and so far in 2018 there is a registry of 730 people, according to the database of the OMA company that keeps the accounting of the passenger traffic from the airports of Chihuahua and Ciudad Juárez.

The aerospace industry has received a total of three thousand 285 million dollars for direct foreign investment during the period 2007-2016, with the United States of America and Canada the countries that have invested the most in Mexico.

For more information about the aerospace industry or how to start up business in Mexico, visit the next website: http://www.americanindustriesgroup.com/ 

Source: El Heraldo de Chihuahua

The growth of automotive industry in Mexico 2018

The automotive industry in Mexico during the first two months of 2018 registered a new record in the production of vehicles with more than 600,000 units armed, it is the largest assembler in Latin America.

During February there were 328,000 units manufactured in Mexico, an increase of 6.2% over the same month last year, which is justified in the double-digit growth of exports (275,000 cars, 11.2% more).

Despite the fact that domestic sales slowed by 7.2%, this did not influence Mexico's return to break a record of car production, according to the Mexican Association of the Automotive Industry (AMIA).

The AMIA, which represents the leading companies in the sector, checked the data for 2017 and noted that last year the "export of light vehicles exceeded the best historical levels for any year", with 3.2 million units. Data from the Mexican automotive sector suggest that, once again, the country will end the year as the leader of Latin America in production, despite the fact that in Brazil, where the economy grew in 2017 for the first time after two years of recession, they begin to feel some improvements.

Automotive manufacturing in February 2018

In February production stood at 213,000 units, 6.2% more than the same month last year, and so far this year the Brazilian factories have already mounted 431,000 units, 15% more in the year-on-year comparison. Sales also point to a slight improvement, with a growth of 19% in the first two months of 2018, still insufficient to rebuild a strategic economic sector that has lost thousands of jobs since 2014.

Since 2014 when Mexico overtook Brazil as the largest vehicle manufacturer in Latin America, this trend has not stopped accelerating, driven by Mexican exports to the United States and Canada.

Last year Mexico exceeded the barrier of 3.7 million cars produced and surpassed for the third consecutive year Brazil as the largest manufacturers in Latin America, with more than one million units compared to the South American giant.

What are the competitive advantages of manufacturing in Mexico?

Offshore manufacturing in Mexico

As you can see, Mexico has many competitive advantages to start up operations. If you would like to know more information, contact American Industries Group they have more than 40 years helping international companies to successful establish their operations.

http://www.americanindustriesgroup.com/ 

Source: Expansion

Where is the best site selection in Mexico for business?

Mexico has many cost-effective and strategic locations for you to start up a successful business. The next information is a summary of a study done by KPMG so you will have a clear idea of where's the best option. 

Querétaro heads the list of entities where business managers in Mexico conceive to expand their operations over successive 3 years, in keeping with a study by practice KPMG.

The survey of 812 business leaders nationwide of enormous and medium-sized firms in varied industries established within the country reveals that fifty fifth of these interviewed conceive to take their company to some state of the Mexican Republic. Querétaro is the state with a lot of mentions and since 2011 has generated an upward trend within the interest of executives. The entity with the fewest mentions is Aguascalientes.

For the managers it's not nonetheless a priority to enter the 3 special economic zones (ZEE) prescribed in 2015 by the federal to spice up development in regions with the best social and economic mental retardation within the country, in keeping with the study. The live includes 3 exclusive zones: interoceanic industrial passageway (which includes municipalities of Guerrero and Oaxaca), Puerto Chiapas and also the neighboring municipalities of the port of Lázaro Cárdenas, in Michoacán.

These areas are promoted by the Mexican government, the Inter-American Development Bank (IDB), the globe Bank (WB) and Harvard University, with the development of the body of water Gas Pipeline and also the town Cruz Gas Pipeline to Puerto Chiapas. However, the export producing trade has antecedently indicated that this set up addresses challenges love infrastructure, coaching and provider development.

On the opposite hand, industrial realty consultants say that the foremost efficient region for your enlargement or relocation project for your producing operation in United Mexican States are:

Juarez

Chihuahua

Monterrey

San Luis Pototosi

Silao, Guanajuato

Reynosa

If you are planning on manufacturing in Mexico, contact American Industries Group. They'll help you find the best site selection in Mexico for your business through their shelter services program. Visit their website and get more information: http://www.americanindustriesgroup.com/services/

Innovations on medical devices manufacturing Mexico

When we talk about any condition, a medical diagnosis is vital to determine the type of treatment that should be provided, especially if it is a more severe disease that needs an early diagnosis. For this reason, the 33 companies that make up the Mexican Association of Innovative Medical Device Industries invest in research and development to have technology that helps improve clinical outcomes, reduce overall costs and improve the quality of life of patients.

What are the innovations on medical devices?

Below are 3 examples that provide more precise diagnosis and treatment, simplify the cleaning, disinfection and sterilization process and improve workflow.

  

1. The EVIS EXERA III endoscopy video platform represents the latest evolution in patient care with the latest on technology, allowing physicians to see the inside of the body more clearly than ever before to help diagnose the disease even in its earlier stage. This innovation provides better visualization and control for medical work.

2. A clear example of the application of new knowledge and technologies is the Syndromic Diagnosis, in which hospitals, doctors, patients and the health system can increase the probability of identifying a pathogen by performing the correct test from the first time. At the same time, it is possible to reduce the costs that additional analysis would entail. This broad group of pathogens helps to improve the management of antibiotics and contributes to the management and adequate treatment of the virus and bacteria detected, in a clinically relevant period of time.

3. Finally, a device that is renewing the diagnostic industry is the cytometer, a digital analyzer that is an excellent option to work with biopsies or puncture liquids with little cellular material, since it has demonstrated its performance, precision and high results quality by increasing technical sensitivity. It can be configured with two or three lasers to detect up to eight colors, capturing up to 10,000 events per second. It has many innovations, including a truly fixed alignment of the flow cell to minimize start-up time and improve reproducibility.

The beneficiaries, having improvements and innovations in medical devices, are the thousands of patients that require concrete solutions of proven quality. Therefore, AMID associates are committed to provide great quality medical devices to help make accurate diagnosis and avoid false positives.

Did you know that Mexico has become one of the most important medical equipment and devices market in the Americas? Many medical devices are being imported from the United States and Canada to be processed and assembled into products and re-exported. Learn more information about this industry and all the benefits of manufacturing in Mexico: http://www.americanindustriesgroup.com/medical/

Source: Azteca News

Sales increase in the aerospace industry in Mexico

The aerospace industry in Mexico projects sales this year by some 8,800 million dollars, 10 percent more than in 2017, the president of the Monterrey Aerocluster, Carlos Ramírez, estimated.

In the framework of the Tenth Annual Meeting of the specialized agency, the executive highlighted that Nuevo Leon is the region of the country where the largest number of companies in the sector with Mexican capital is located. "Last year they sold very close to eight billion dollars in the aerospace industry in Mexico, but with imports close to seven billion dollars," he said.

Estimated Growth of the Aerospace Industry in Mexico 2018

He pointed out that the industry is growing at a rate of 10 percent so he anticipated that this trend will not decrease during 2018. He said that currently the global aerospace industry, by 2030, will require almost 20 thousand new commercial aircraft and this demand means that the supply is not enough. 

"There is a challenge in all assemblers of being able to develop a chain of suppliers that can satisfy this future demand and that is where we can have the greatest opportunity in Mexico," he said. 

On the other hand, the expert in the sector, Francisco Bautista, assured that the flow of investments towards the aerospace industry in Mexico will continue to be verified in the coming years, due to the quality of its products. 

Evolution of the Aerospace Industry in Mexico

The leader in the aerospace industry of Ernst and Young Mexico, said that "in Mexico, the evolution we can have in this area is exponential, that is what can launch us into a leading aerospace industry." The executive stressed that "in the coming years we will have a brutal growth" of the aerospace industry in the country. He said that in the last 25 years the aerospace industry worldwide has followed the development trends of new technologies achieved by the companies in the automotive sector. He also explained that, fortunately, Mexican aerospace manufacturing companies have not suffered attacks to steal information from international cyberterrorism.

How to start up manufacturing services in Mexico?

If you are planning to start up manufacturing services in Mexico or want to know more information about the aerospace industry in Mexico, you can access the next website of American Industries Group. They have more than 40 years helping international companies in Mexico to successfully establish their operations!

http://www.americanindustriesgroup.com/aerospace/ 

Source: 20 minutos

Benefits of offshore manufacturing in Mexico

Are you planning to start up operations in Mexico but you are not sure about the benefits or risks?
Mexico it's one of the most competitive countries in the world due to its macroeconomic and political stability, low inflation, economic growth and low labor costs. Here are the main benefits of taking your manufacturing company to Mexico:

• Ubication: it has a proximity to large markets in the US and Latin America. In fact, Mexico has a 3,000km border with the US, which allows for low transportation costs to the North American market. There are 52 access points between the US and Mexico.
• Skilled labor: skilled, available and affordable workforce; up to 80% in labor cost savings. Also it has high technology training centers.
• Cost savings: tariffs savings due to Mexico's Free Trade Agreements with 46 countries and also there is no VAT and no income TAX.
• Shelter services program: they have a developed "soft landing" culture to help international manufacturers to start up operations in Mexico with fast-track, risk-free shelter programs.

Some key manufacturing industries in Mexico are:

• Aerospace
• Automotive
• Medical
• Electronics
• Home Appliances
• Textile

In conclusion, Mexico has an open economy that guarantees access to international markets through a network of free trade agreements. The country boasts a strategic geographic location and competitive costs to service global markets, as well as a highly-skilled, young workforce.

If you want to know more information about manufacturing in Mexico or planning to start up operations, visit the next website: http://www.americanindustriesgroup.com/ 

How is the automotive industry in Mexico 2018

After a year of record figures in exports and vehicle production, and a fall in sales volume, uncertainty and low sales expectations in the US are emerging as the main challenges for the sector. I'm going to share with all of you some more information about the automotive industry in Mexico and what is the forecast for 2018.

A panorama of contrasts was what the national automotive industry in Mexico experienced during 2017. On the one hand, according to figures from the Mexican Association of the Automotive Industry (AMIA), the production and export of light vehicles registered historical levels, while, on the other hand, the national sale of light vehicles showed a negative variation.

What reasons could we find behind this contrasting behavior? On the one hand, the annual increase in production and exports of light vehicles during 2017 (8.9% and 12.1%, respectively, according to the AMIA) is due in large part to the opening of new assembly plants.

Specifically, we are talking about two new plants - KIA and Audi -, a result of foreign direct investments from years ago, which during 2017 began to manufacture cars in a consistent manner and which generated a rise in production levels. At the other extreme, behind the low sales of light vehicles in the country, which according to data from the AMIA and the Mexican Association of Automotive Distributors (AMDA) was 4.6% in relation to the previous year, we found several factors.

One of them is the increase in fuel prices, as well as the constant rise in the inflation rate, which has led many people or companies to stop their investments until they know how much they would be affected by these concepts.

Other important aspects that have impacted vehicle sales is the uncertainty generated by the renegotiation of the North American Free Trade Agreement (NAFTA) and the electoral day that our country will live next July - which can make people decide to postpone their purchasing decisions-, as well as the levels of exchange rate -capable of increasing the price of the units-.

In this context, the natural thing to ask is: what should the automotive industry do to counteract these effects? The answer is to offer more attractive financing schemes, according to the particular needs of the current consumer, mainly, of the millennials, one of the sectors most reluctant to make this type of acquisitions.

This new offer from the industry would undoubtedly help alleviate a little the uncertainty generated by the other factors mentioned and, in some way, help maintain the levels of sales of light vehicles in Mexico.

So, what is the forecast for Mexico manufacturing in 2018?

In terms of production, it is most likely that during 2018 we will observe levels very similar to those of last year, stable levels in which, however, we could see effects due to the reduction in the expectation of national market sales. American.

The United States represents the main destination of light vehicles manufactured in Mexico and, during 2017, according to the report of Ward's Automotive, they registered a decrease in their sales levels of 1.9% compared to the previous year.

If the US market reduces its expectation of domestic sales, this will cause some of the brands established in Mexico to adjust their manufacturing levels in some models, which would directly impact the Mexican production figures.

However, there are new investments in our country, which will start producing vehicles during the next years (2019 and 2020), which could compensate this situation in the long term.

Although 2018 will not be a spectacular year for the Mexican automotive industry, it will be a good year, a year of important challenges in which all the players in the sector must work together to maintain the levels achieved during 2017.

Unsafe but not depressing things will come this year for the industry. However, the automotive industry is one of the most important in the country because Mexico offers different competitive advantages to international companies that wish to start operations in Mexico. If you want to know more information, you can visit the next website: www.americanindustriesgroup.com 

Source: Deloitte

Industrial Real Estate Mexico: Gowth trend

Did you know that in Tijuana there is only 4% availability of Industrial Space? Here is an interesting article I found that want to share to you.

After the growth of industrial plants in Tijuana, the real estate sector continues to be active to meet the demand for spaces generated by companies.

"We have really been active because companies continue to demand spaces for plants that are already growing and new ones that just want to settle in the city. These are difficult times, but we see that production does not slow down at the border, "said Miguel Velasco, an associate of the real estate company for industrial buildings NAI Mexico.

According to the Association of Economic and Industrial Development of Tijuana (Deitac), during the first two months of 2018, the city reached 500,000 square feet in expansion of industrial plants, equivalent to approximately 21.3 million dollars in the rent of spaces for the operation of the companies. The Economic Development Advisor Tijuana explained that the average cost of rent for the use of industrial buildings is $42.5 dollars per square foot, and that in the case of the city has been dynamic to have always interested in leasing the land available.

In the same line, the executive director of Deitac, Adriana Eguía, said that in the border municipality there are adequate spaces and buildings to absorb the demand of a growing industry that diversifies, which currently maintains its availability of industrial spaces by 4%, although the intention is to open more sites to solve the demand.

He explained that it is therefore important to maintain constant communication both with specialists and with businessmen, in order not only to generate the occupation, but also to know the requirements necessary for the operation, such as sufficient space for the movement of the cargo, as well as certain height and temperature of the buildings.

According to the Ministry of Economy, during the year 2017, Baja California captured 1,444.4 million dollars of Foreign Direct Investment (FDI); amount that positions the state in fourth place of the northern border and seventh national place. The state's FDI represents 4.9% of the national catchment.

In the period 2014-2017, (of the current administration) 5,266.5 million dollars of FDI have been accumulated, 16% higher than the investment received during the first four years of the previous administration.

The analyst for the industrial market within the real estate company Datoz Bienes Raíces, Antonio Chavira, explained that electronic commerce and spaces for its development are a good opportunity for the city, since its practice has increased thanks to new technologies.

There are many strategic site selection in Mexico for you to start your operations. There is this company that has more than 40 years of experience helping international companies to select and establish their plants, if you want to know more information about shelter services or industrial Real Estate in Mexico, go to next website:

http://www.americanindustriesgroup.com/

Source: El Economista

Medical devices manufacturing in Mexico

In the domestic market, in recent years there has been an increasing demand for products for the care of degenerative diseases, such as: personal glucose and cholesterol monitors, products to control glucose, massagers and weight control equipment. According to research conducted by the International Bureau of Commerce and Research of Massachusetts, other devices required in Mexico are: anesthesia and expiratory therapy equipment, cardiac simulators, defibrillators, diagnostic equipment, electrocardiographs, electrosurgery equipment, lightning equipment gamma, incubators, laser for surgery, resonators, suction pumps, ultrasound and endoscopes.

Medical tourism is another important source of income for Mexico. According to ProMéxico, the wave of this type of visitors began in 1996, with Monterrey being a pioneer in medical care for international patients. In fact, it is estimated that this modality left an income of 880 million dollars in 2008. Mexico is the main destination of the United States for cosmetic and dental surgeries. ProMéxico calculations indicate that the citizens of this country spend 2.2 billion dollars in health, of which 5.5 billion are directed outside their territory.

Foreign trade 

Mexico is the leading exporter of medical devices in Latin America and the main supplier in the United States. The figures of the Global Trade Atlas indicate that in 2010 the country exported close to six billion dollars, and ranked as the eleventh exporter of medical devices worldwide. In addition, during the same year the country presented a positive balance in the trade balance of the sector, of three billion dollars.

According to ProMéxico, the main products exported by the Aztec country at a global level are: instruments of medicine, surgery and odontology; orthopedic articles and appliances, and X-ray apparatus. In 2010, Mexican exports of medical devices to the United States reached an amount of 5.4 billion dollars. In 2009, 90.7% of total Mexican exports went to that country, followed by the European Union, with 7.6% more than the total.

In 2005, a report by the National Bank of Foreign Trade (Bancomext) indicated that 95% of Mexican exports were made through the maquila regime. It is estimated that imports represent 70% of all purchases, and the United States is the main supplier, with a share of more than 66% of the total purchased by Mexico. Espicom notes that the country is still dependent on foreign technology, and much of the sophisticated medical equipment is imported from the United States.

If you want to learn more information about medical devices manufacturing in Mexico, you can visit the next website: http://www.americanindustriesgroup.com/

Shelter Services: Mexico is a great option

Mexico has a lot of well-known problems. Drugs. Poverty. Corruption. And on the corporate side, low-levels of production outside of the major multinational owned manufacturing firms. But despite the campaign rhetoric to build a wall and to knock Mexico down a peg in a NAFTA do-over, there is one problem our neighbor does not have: beating every single equity market in the Americas to a pulp.

For investors, Mexico is great…again. After a slight lull in affection back in April, the market has rediscovered Mexico now for the past two months. The trend is seen continuing until the fourth quarter.

Mexico was already great at the end of last year on into January for bond investors. They bought local currency Mexican government bonds when the peso fell to its lowest level on record, around 22 to the dollar. It’s now 17.17 to the dollar. Those investors have gained at least 14.8% since January on the currency alone. The second-place currency in terms of strength against the dollar this year is the Brazilian real and that’s only gained 3.5%.


Morgan Stanley says the Mexico bull run is not over.

Economist Luis Arcentales of Morgan Stanley in New York says the mood has markedly changed since Trump first won the White House. “Besides the great food and the awful traffic, I did sense a shift among local investors who seemed much more constructive about Mexico after having been quite cautious because of a whole host of factors ranging from domestic politics to concerns about protectionism,” he says.


Last week’s news on upcoming NAFTA revisions helped strengthen Mexican markets seven more. Many of the elements added, such as beefing up local content rules for manufacturers, protecting intellectual property rights and labor provisions were included in President Obama’s failed Trans-Pacific Partnership negotiations, and both Mexico and Canada agreed to make those concessions out of concern that the U.S. would bail and turn to Asia instead. NAFTA renegotiations begin on Aug. 16.

For Arcentales, barring the proposal to scrap the Chapter 19 rule in NAFTA on anti-dumping and trade duty matters in favor of the U.S., most Mexico watchers today think NAFTA just gets better, not worse.

Mexico has benefited from better coordination between the federal government’s two most important entities: oil firm Pemex and the central bank of Mexico, Banxico. Fiscal and monetary policies are tighter, energy reform that allows for greater foreign participation (meaning less spending for Pemex) has been a success thus far, and the central bank managed to protect the currency well, with ample reserves in a severe downturn.

Morgan Stanley strategists say they see “a window of opportunity to express a bullish view” on Mexico at least until their presidential elections next summer. Morgan analysts expect volatility to pick up in the first quarter.

“The story for the Mexican peso will be different in 2018,” says Andres Jaime, a strategist at Morgan.

The peso is unlikely to move closer to the dollar than 17 pesos. It’s already up from 18.12 when FORBES ran its portfolio manager profile on BlackRock’s Gerardo Rodriguez in June. Next year, political uncertainty will have a bigger influence on the currency and on Mexico in general, with volatility kicking into high gear by March. “Some cheapness in the currency is a near certainty in my view, particularly in the second quarter of 2018,” Jaime says.

For now, Mexico is still in the sweet spot. There’s potential for more upside.

For more information about shelter services or Industrial Real Estate in Mexico, visit: http://www.americanindustriesgroup.com/