News & Insights for Manufacturing in Mexico

Mexico a hot market for high-tech manufacturing jobs

Written by Ivan Barrios | Aug 29, 2013 12:31:00 PM

According to Area Development Online, manufacturing job openings are increasing across North America. The publication cited Guadalajara, Tijuana and Juarez in Mexico as areas for development manufacturers should watch. It also provided a list of considerations for high-tech manufacturing concerns, each of which indicates Mexico can be a sensible choice for competitive manufacturing.

Companies with national distribution have more leeway in where they will set up a factory than those with a very localized market. For ensuring distribution throughout the U.S. and North America, Mexico is a good choice. The country is near enough to the U.S. to make supply chain management efficient and cost-effective, and offers other savings over manufacturing domestically.

Offshore manufacturing may be ideal for companies that plan to open a large facility with many workers, according to Area Development Online. The cost savings on real estate, facilities and personnel can be significant. Many American tech centers, like Silicon Valley, Austin and Boston, come with very high rents and talent that expects exorbitant salaries. Choosing to open a factory in another location can help reduce manufacturing costs.

Mexico in particular is a prime location for electronics manufacturing, including high-tech electronics. Guadalajara, Jalisco, has received more than $14 billion in electronics industry investment, creating a center of this type of manufacturing. The electronics manufacturers in this city employ more than 50,000 Mexican workers. 

Electronics companies in the high-tech sector should consider Mexico for their manufacturing needs. To navigate an unfamiliar country, with all its business customs, regulations and requirements, it can be beneficial to work with shelter companies. These firms can help in the acquisition of real estate and equipment, as well as the recruitment of qualified Mexican workers.