During the last year, the household appliances industry gained great visibility due to the permanence of users at home, which triggered the demand for items that make daily life more comfortable.

Air conditioning, ventilation and heating equipment were indispensable to the new “normal” and a requirement for opening businesses around the world.

As an industry, the production of household appliances seeks to further expand its value chain in Mexico, giving rise to a renewed panorama of opportunities, which have allowed

identify its entire production chain as essential during the pandemic period.

This was also good news for the Mexican economy, since the country can be considered a world power in the production of household appliances, coupled with the fact that the sector continues to encourage the arrival of Foreign Direct Investment.

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One of the objectives of large companies in this sector is to establish a reshoring strategy, that is, to move their production chains from remote areas, such as China or India, to a much more compact regionalization such as that offered by Mexico.

"A great job is done with the regional supply," says Eduardo Elizondo, vice president of Operations at Whirlpool Mexico. "In our case, 80% of the supply is already in North America and 60% is located in Mexico."

According to the manager, Whirlpool, which has recently announced a couple of investments for 120 million dollars (in its Ramos Arizpe plant) and 28 million dollars (in Apodaca and Celaya), is also working on the development of its own providers.

In Mexico, the sector has its largest center of operations in the state of Nuevo León, which exports 80% of its production with a value of 4 thousand 435 million dollars, according to figures from the Cluster of Home Appliances of Nuevo León (CLELAC).

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The domain is absolute in certain markets, such as air conditioning: in this state 66% of the total air conditioning equipment made in the country is manufactured.

Daniel Córdova, Director of Operations for Trane Mexico, who also chairs CLELAC, considers that the greatest opportunity presented by the air conditioning supply chain is found in market prices.

Nuevo León registers 40% of the total production of electrical appliances in Mexico, where they have found an ideal location for a supplier that meets their requirements.

On the other hand, the signing of the new T-MEC has as one of its guidelines that the production of household appliances has a 50 to 60% regional content, which implies that more than half of the elements that make up a refrigerator or a air conditioning, must be made in North America.

The arrival and expansion of new electrical appliance companies in Mexico during the last year, such as Whirlpool, Nidec or Hisense, are warnings that this demand for local suppliers will not be temporary, but rather a long-term challenge.

In Solili you can consult industrial buildings in Ciudad Juárez, Tecate and Chihuahua

Original note