The National Council of the Maquiladora and Export Manufacturing Industry (Index) of Mexico projected that investments in the sector will amount to US$ 14,000 million in 2022, which represents a growth of 19.8% year-on-year and a record, by exceeding the all-time high of US$ 11,687 million in 2021.

This growing trend would stop next year, when it is expected to attract investments in a range between US$5,000 and US$9,000 million, based on the adverse global environment and the high inflation forecast in the United States for 2023, added Luis Manuel Hernández, Index President.

Check here: Industrial construction will continue strong in the Saltillo market

Through the IMMEX program, producers of goods for export or companies that provide services for export can temporarily import various goods exempt from the general import tax and, if applicable, from the payment of antidumping or countervailing duties, to be used in the production of export products.

They can also obtain a tax credit of 100% of the Value Added Tax (VAT) and/or the Special Tax on Production and Services (IEPS).

This program continues to be of great importance for Mexican trade: during the period 2016-2021, on average 55.8% of exports and 43.3% of imports were made by IMMEX beneficiary companies.

The main exports and imports were electrical machinery, appliances and material. Hernández commented that some investment projects are pending the conclusion or the direction that the controversy in energy matters that Mexico, the United States and Canada will take due to certain policies applied by Mexico, which, among other aspects, benefit Pemex and the Federal Electricity Commission (CFE).

Of interest: Solili Industrial Report November 2022, 6.6 million m² have been absorbed in the country

He also highlighted that Mexico is facing greater competition from economies such as Taiwan, India and Singapore, as well as from Vietnam, where plants have been relocated from China to lower their costs and to avoid tariffs from US customs.

Meanwhile, Hernández added, the US government "is preparing" the southern United States to compete with Mexico, although this has already happened on other occasions.

More than new projects, around 80 to 90% of the investments that have arrived in Mexico this year were allocated to the expansion of production plants.

In Solili you can consult industrial warehouses available in Ciudad Juárez and Chihuahua

Original note