Besides the industry, especially increases the significance of the service sectors such as tourism and trade. The percentage of mining and agriculture in the Mexican economic decreases. Key regions of around 2,000 companies with German capital participation in Mexico are Mexico City, the State of México, Puebla and Nuevo León States, as well as the Bajio region.
In transition to an industrialized nation
Mexico is on its way becoming an industrial nation, the industry´ share of the total Mexican economic output increase. The transition from the agricultural and raw materials economy to an industrial nation is especially promoted by the automotive industry. But also, the service industry is involved in the positive trend of the economic growth. Until 2020 Mexico wants to produce five million cars annually and become the world’s fifth largest automotive location, mining and agriculture decline importance.
Nevertheless, the country still struggles with typical problems of an emerging market. Consumption is driven by more formal employment situations; however, a large part of the Mexican economy still works informally (more than every second Mexican).
Services: Mexico becoming a very popular tourist destination
Because of the rising number of tourists, particularly from the countries Canada and the United States but also from Asia and Europe, tourism becomes the most dynamic service sector. Compared to the previous year, an increase of 9% is expected for 2018. This is reflected in the importance of this sector for the entire gross domestic product, accounted more than 60% of the total Mexican GDP. Positive figures in the second quarter of this year were only recorded in the service activities and mitigate the GDP decline to 0.07% (in comparison with the previous quarter). The new government plans to win private investors for its railway project “tren maya”. This tourist train will connect the states of Campeche, Yucatán, Chiapas and Tabasco with over 1.500km train route and is supposed to go into operation by 2024. Mexico aims to provide new jobs with this major project, besides increasing the number of tourists.
The growth of the service sector and the resulting high demand for labor also leads to positive income structures. The purchase intention thus increasing causes to expand especially high-priced chain stores such as Liverpool and Palacio de Hierro.
Growth potential in the oil and gas sector
After Mexico’s energy reform and the elimination of the monopoly of the public energy company Pemex numerous investments currently are flowing in new oil and gas projects. Under the newly elected Government this trend might weaken, nevertheless there is still predicted an increasing trend for the overall production.
Read more about the various industries in Mexico here.
We offer consulting services
WMP Consulting Services is an international consulting company specialized in different areas such as location analysis, real estate search, market analysis, business partner search, and supplier development in Mexico.
We are happy to advise you on the various industries in Mexico. Not only finding the right location for your business is the key to success. We can help you find the perfect location for your subsidiary in Mexico, taking into consideration all of your needs and requirements. Further, we offer support in the following areas: contract negotiations, locating the right premises, finding the best, and most competent building contractor. Taking into account all possible opportunities and challenges, together we will develop a market entry strategy specially tailored to the needs of your company. With over 10 years of experience in the Mexican market, we are your trusted partner in Mexico.
Contact: Mr Finn Neugebauer, email@example.com