Recent and upcoming investment in Mexico

  • Logistics: Mexican logistics services provider Onest Logistics is currently constructing a new operations center in the central State of Mexico, the company reported. The US$9.5 million facility is planned specifically to meet rapidly growing demand from e-commerce platforms such as MercadoLibre and Amazon. (El Norte, November 30, 2021)
  • Manufacturing: French rail car manufacturer Alstom is carrying out investment of approximately US$25 million at its plant in the central state of Hidalgo, the company reported. The company is upgrading equipment, installations and testing track for the construction of rolling stock for the Maya Train, currently being built in southeastern Mexico. (Reforma, November 25, 2021)
  • Automotive: German electronics and engineering multinational Bosch announced plans to expand production at its manufacturing plant in the central state of Aguascalientes. The US$83 million upgrade is expected to support increased output of the company’s automotive braking system components iBooster, ABS and ESP. (Forbes México, November 24, 2021)
  • Pharmaceutical: U.S. pharmaceutical multinational Baxter inaugurated a new production line at its plant in the southern state of Morelos, the company reported. The expansion is part of a US$100 million investment through 2024 that will allow the plant to increase production of kidney treatment products for the Mexican, U.S. and Latin American markets. (Reforma, November 23, 2021)
  • Electronics: Taiwanese-owned electronics manufacturer Kemet announced plans to expand its plant in the northeastern state of Tamaulipas. The US$20 million upgrade will allow the company to increase production of capacitors used by the automotive, aerospace and medical device industries, among others. (Milenio, November 11, 2021) Continue reading Recent and upcoming investment in Mexico

Recent and upcoming investment in Mexico

ECONOMY AND INDUSTRY

  • Revenue from international tourism to Mexico jumped 256% in August with respect to the same month in 2020, according to data from the National Statistics Institute (INEGI). Nonetheless, income from international tourism remained 6.9% below the level registered in the same month of 2019. (Citibanamex Reporte Económico Diario, October 11, 2021)
  • Mexico’s inflation rate through September as measured by the National Consumer Price Index (INPC) is 6.0%, Citibank subsidiary Citibanamex reported. The bank projects final 2021 inflation to reach 6.4%. (Citibanamex Estudios Económicos, October 7, 2021)
  • Remittances to Mexico from abroad continued their remarkable performance in August, registering an increase of 32.7% over the same month the previous year, according to central bank Banco de México (Banxico) data. The value of remittances is running approximately 25% ahead of 2020 through the first eight months of this year. (El Financiero, October 1, 2021)

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COP26 and the calvary of Marcelo Ebrard

Back in 2003 or so, we attended a meeting of local business executives here in Mexico City and listened while they ranted and wrung their hands over the prospect of Andrés Manuel López Obrador (AMLO) someday becoming president. In our turn to speak we downplayed the alarm level, suggesting that if AMLO were ever to reach the presidency he would turn out to be more pragmatic in pursuing his agenda at the national level. Our opinion was rejected, to say the least, by the meeting attendees. Well, fast forward 18 years or so, and it turns out we were so wrong about AMLO we really ought to be fined and imprisoned for how wrong we were. Since the day he was elected, AMLO burst forth unleashed with the ether bottle in one hand and a scepter in the other, waging unconditional campaigns against the private sector, foreign imperialists, NGOs, science, academia, wind farms, women and a long list of other personal bogeythings. The range of active fronts in his war on sense is vast, and today we would like to offer some comments on the upcoming COP26 climate change conference and how it provides an example of Mexico’s free fall in the opposite direction of sound public policy. Continue reading COP26 and the calvary of Marcelo Ebrard