Mexico Nearshoring Boom Investment Nearing $26B In Early 2024

Mexico's economy is expecting a potential boost as foreign and domestic companies announced nearly $26 billion in planned investments in the first two months of 2024. This figure, based on a report by the Economy Ministry, suggests a promising future for the nation's economic landscape.

Image: U.S Imports and U.S Exports To Mexico, Matt Silver, X

Mexico's Economy Ministry reports 52 investment announcements totaling $25.84 billion in the first two months of 2024, expected to generate 28,702 jobs. The Ministry emphasizes on social media that now is the prime time to invest in Mexico.

FEMSA announced its plan to invest approximately 170 billion pesos in Mexico over the next five years. According to the SE report, this amount is equivalent to US $9.96 billion.

FEMSA, renowned for its ownership of the Oxxo convenience store chain and operation of 17 Coca-Cola bottling plants in Mexico.

Image: Where companies are setting up plants in Mexico.

The companies ranking from second to fifth based on the scale of their investment announcements in the initial two months of the year are as follows:

1. Amazon Web Services (United States) is planning to invest approximately $5 billion in a series of data centers in Querétaro, as per the SE, with the announced amount at $4.96 billion.
   
   
2. DHL Supply Chain (Germany) is aiming to invest an additional $4 billion in Mexico.
   
   
3. Ternium (Argentina) is looking to invest $1.94 billion in its steelworks.
   
   
4. Volkswagen (Germany) intends to allocate roughly $1 billion for the enhancement of its Puebla plant, as listed by the SE at $942 million.

Other companies within the top 10, with investment announcements ranging from $270 million to $601 million, include: Solarever (China), ELAM-FAW (China), Nemak (Netherlands), Unison Shanghai (China), and Aspen Aerogels (United States).

Courtesy: Mexico Daily News