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Mexican government focuses on driving electronics manufacturing

There is a man holding an electonic item in the form of a cell phone.
27 Dec 2013

Mexico is well-known for its commitment to fabricating high-quality products, and Nearshore Americas recently reported that the Mexican government is looking to improve Mexico City's electronic manufacturing sector. Mexico City, which is already one of the largest economies in Latin America, is looking to expand its IT and media focus. According to Nearshore, other regions in Mexico have already become power players in the IT/BPO aspect of the electronics industry with numerous companies choosing to offshore manufacturing to the region, but Mexico is looking to expand its computer and communications concentration by encouraging more companies to create call centers and technology support in the country.

Mexico's expanding electronics concentration
Many foreign companies have already taken up root in Mexico. According to Reuters, BlackBerry recently made the shift to producing goods in Mexico, while Taiwan-based Foxconn, which BlackBery recently invested in, has been creating electronics in Mexico since 2009 to take advantage of its large North American end market.

Jose Merino, founder of multimedia startup Data4, told Nearshore basing Data4 in Mexico was a conscious decision, as the country continues to provide new media and IT capabilities.

"There's hardly a better country than Mexico," Merino said. "The number of engineers, quantitative social scientists, and programmers is really unparalleled."

Mexico's industrial strength combined with its growing population of engineers and IT personnel puts the country on the map for being a global heavyweight. Vicente Guitierrez, head of the Mexico City office of Mexico's Ministry of Economy, told Nearshore that the government understands the potential of expanding its electronics concentration and the ongoing need to find innovative ways to do business.

"The government is pushing for clean industrial development - call centers, IT, businesses that don't demand water or create pollution," Guitierrez said. Guitierrez also explained that increasing Mexico City's share of the country's electronics industry was a logical step forward, as Mexico City is a significant economic presence in the region. In fact, Mexico City has some of the region's most prestigious universities, making it an ideal choice for expansion, Nearshore reported.

Electronics manufacturing is a prolific industry in Mexico, with companies found in Jalisco, Sonora, Chihuahua and Queretaro, to name a few. Mexico City is just one of many industrial clustered with a significant electronics manufacturing presence, with focuses on appliances, telecommunications and computers. While Guadalajara in Jalisco is the epicenter of high-tech manufacturing, Mexico City may soon increase its share of the industry.

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