Mexico as a Logistics Hub for Nearshoring: Analysis and Projections for 2025

The transformation of global supply chains has triggered an unprecedented wave of manufacturing relocation. This phenomenon, known as nearshoring, has placed Mexico in the spotlight for international companies seeking logistics efficiency, tariff advantages, and strategic proximity to the U.S. market.

Between 2022 and 2024 alone, demand for industrial space in the country grew by 35%, reflecting Mexico's attractiveness for strategic operations. According to the State of Logistics 2025 report published by Mexico Industry, Mexico is well positioned to become Latin America's logistics leader in this new era of regional globalization.

Current Status of Nearshoring in Mexico: Trends and Projections for 2025

Nearshoring continues to reshape Mexico's industrial landscape. As companies seek to optimize their supply chains and move closer to key markets, Mexico is becoming a strategic destination for relocating operations.

📊 Sustained Growth in Demand for Industrial Space

Increased Demand: By the end of 2024, demand for industrial space related to nearshoring exceeded 2 million square meters, a 5% year-over-year increase

2025 Outlook: This trend is expected to intensify in 2025 with the arrival of new companies and the expansion of existing operations. According to AMPIP (Mexican Association of Private Industrial Parks), 47 new industrial parks are projected to enter operation to meet growing demand.

Source: The Logistics World

🏭 Key Sectors Driving Nearshoring in Mexico

Automotive: States like Aguascalientes and Saltillo are absorbing significant investment. In Aguascalientes, 100% of industrial absorption in 2024 was attributed to the automotive sector.

Advanced Manufacturing: From machinery to medical devices, this sector demands high-tech facilities with strong logistics connectivity.

Food and Beverage: Companies are regionalizing their distribution with strategic hubs that shorten delivery times.

Pharmaceutical and Chemical: These industries require facilities designed to meet specific technical specifications, including environmental controls and certified logistics.

🌐 High-Demand Regions

Northern Border: Monterrey, Saltillo, Ciudad Juárez, and Tijuana account for over 50% of new industrial demand.

The Bajío Region, comprising Querétaro, Guanajuato, and San Luis Potosí, has become a key hub due to its robust infrastructure, skilled labor, and intermodal connectivity.

Emerging Markets: Cities like Ciudad Obregón and Reynosa are gaining traction in terms of space absorption and availability.

📈 Outlook for 2025 and What Companies Are Looking For

By the end of 2025:

• Four hundred new foreign companies are expected to establish operations in Mexico as a result of nearshoring. This investment wave presents not only opportunities but also the challenge of offering solutions tailored to each type of operation.
  
  
• Industrial space demand is projected to grow by an additional 3 million square meters by 2027.

Today, companies are not just looking for space—they are seeking strategic value:

• Specialized Consulting: Understanding the legal, tax, and logistics landscape in Mexico is essential for any operation.
  
  
• Contract Flexibility: Adaptive leasing, purchasing, or phased development models are becoming standard.
  
  
• Build-to-Suit (BTS): Facilities explicitly designed to support each company's logistical flows, manufacturing needs, and regulatory requirements.

🏗️ You may also be interested in reading Turning Tariffs into Opportunity with Nearshoring in Mexico >

How Frontier Supports This Process

At Frontier Industrial, we are ready to provide tailored services that align with your expansion plans:

• Rental of Class A industrial facilities
• Development of Build-to-Suit (BTS) projects for lease.
• Sale of shovel-ready land
• Technical, regulatory, and logistics support

With a presence in strategic hubs like PILBA (Guanajuato), Escobedo (Nuevo León), PLATAH (Hidalgo), and ARCO 57 (State of Mexico)—and experience with companies like Amazon, Michelin, BMW, and Mercado Libre—we ensure project success from planning through to execution.

Mexico Is Ready for Global Business

Mexico offers the ideal conditions for global companies to establish production and logistics operations. With Frontier as your partner, your expansion will be strategic, cost-effective, and future-proof.

Learn more about the impact of nearshoring in Mexico

This analysis is based on insights from sources such as Mexico Industry, El Economista, The Logistics World, and Emprendedor, as well as internal reports from Frontier Industrial.