Most manufacturing companies operate along the border through to the central regions of Mexico. Each region has specific locations that cater to specialized industries that require high skilled manufacturing employees.
Border Cities and States
Most of the manufacturing done along the border of Mexico and the U.S. is by aerospace and automotive parts manufacturing companies with multiple others benefiting from the cluster including medical technologies and electronics. The labor force is experienced in these areas and keen to participate in workplace training and other types of skills advancement.
The most common industrialized border cities for manufacturing in Mexico from west to east:
- Tijuana, Baja California
- Mexicali, Baja California
- Nogales, Sonora
- Juarez, Chihuahua
- Nuevo Laredo, Tamaulipas
- Reynosa, Tamaulipas
- Matamoros, Tamaulipas
Baja California borders the United States and maintains easy access to the rest of North America. The top manufacturing industries in Baja California include medical device and electronics manufacturing, which mainly operate in Tijuana, Mexicali, and Ensenada.
Tijuana, Baja California is the most booming manufacturing city along the border. It maintains an experienced workforce that is sometimes difficult to keep because of the many companies setting up shop within the prime location.
Ciudad Juarez, Chihuahua hosts the most manufacturing companies along the border and has a history of working with foreign companies and maquiladoras. Guaymas, Sonora specializes in turbines and engine components for airplanes and is growing their reach into the medical device industry. Empalme and Hermosillo, Sonora are both powerhouses for the automotive and electric manufacturing industry.
The Northeast border states include Coahuila, Nuevo León, Zacatecas, Tamaulipas, and San Luis Potosí. The top manufacturing cities include Saltillo, Coahuila; Monterrey, Nuevo Leon; San Luis Potosí city, and Zacatecas city.
This region has clusters that specialize in manufacturing computer parts, automotive parts, and appliances. Because many of these states border the U.S., getting these parts across to larger markets is easy logistics. Mexico has invested millions of dollars into its infrastructure so that companies have easy access to border crossings and ports.
One factor to consider is that a border state is not a border city. There are pros and cons of locating a manufacturing facility in a border city, vs an interior city of a border state, vs. a city in any other Mexican state.
The most common industrialized cities in the interior of the bordering states are from west to east:
- Hermosillo, Sonora
- Guaymas / Empalme, Sonora
- Chihuahua, Chihuahua
- Monterrey, Nuevo Leon
- Saltillo, Coahuila
- Torreon, Coahuila
Interior States for Mexico Manufacturing
The most common industrialized states in the interior of Mexico are:
- Mexico City
- Guanajuato
- Jalisco
- Queretaro
- Puebla
- Estado de Mexico
- San Luis Potosi
- Aguascalientes
These states hold a range of manufacturing industries, but the main clusters include aerospace, medical device, Electronic Manufacturing Services (EMS), and automotive manufacturing. The larger industry clusters are centered around Guadalajara, Queretaro, and Celaya. The other states maintain operations scattered around the region in strategic locations close to ports, highway corridors, and international airports.
Labor within the interior of Mexico is also experienced in manufacturing and maintains a relatively high attrition rate. Their specialties are in high-skilled manufacturing industries and experience hands on training from various tech-schools, facilities, and industry operations.
When deciding where to operate in Mexico, companies should be aware of where they should locate and why. Understanding your operational needs is the first step in finding your strategic location.
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