Mexican industry

Home appliances production is poised for expansion within the trend of nearshoring to Mexico

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The northern region of Mexico is establishing itself as an important electronic and home appliance production area, taking advantage of the enterprise relocation trend due to nearshoring activities.Nearshoring to Mexico has attracted automotive and technology enterprises looking to reduce the costs of entering the United States market.

According to Yoelle Rojas of the Nuevo Leon Home Appliances Cluster, Mexico is currently the fifth major global manufacturer of these articles. “Mexico accounts for US $15,000 million yearly in this market”, she explained to Forbes Mexico magazine.

Rojas also affirmed that 80% of Mexican home appliances production is exported. However, there’s a growing trend in local consumption, which allows authorities to expect a stable market for the next years. She stated that local providers’ efforts are focused on satisfying the demand for finished articles and parts used for manufacturing the appliances.

EMS Now, a digital information platform focused on the electronics market, published that Mexico’s availability of a skilled workforce and different suppliers, as well as the advantages demonstrated since the 2019 pandemic supply chain interruptions, make it an attractive production spot for establishing itself among the global sector leaders.


Nearshoring in northern Mexico states is key to sustaining production

There are nearly 3,500 enterprises operating in the home appliances industry in Mexican territory, with a strong presence in Bajio and northern states, such as Nuevo Leon, Baja California, Chihuahua, Jalisco, and the State of Mexico.

According to Mexico Industry, 345 electronic and home appliances brands are active in Nuevo Leon. This state accounts for 40% of the total sector exports, with nearly US $4,500 million. It has crucial foreign enterprises such as Whirlpool, Mabe, Hisense, Carrier, and Trane manufacturing their articles in facilities in the Monterrey area.

Nearshoring activities to Mexico are driving the expansion of the electronic devices industry to various states, such as Guanajuato, due to the presence of different suppliers bringing service to the automotive supply chains that can serve this sector, and Jalisco. This state recently established a regional cluster for technology activities.

The industrial growth in Mexico attracts companies from various sectors to establish or relocate their manufacturing and logistics operations. If it’s your company’s case, Frontier Industrial can offer industrial land for sale and buildings for rent in the country’s most important regions and build-to-suit facilities with all the services needed. Feel free to contact us and develop your project with us.