Relying heavily on a single region or centralized operations can be disastrous in times of crisis, which highlighted the relevance of Mexico and Latin America after Covid-19. The region has developed as a global nearshore IT services agency over the past decade, strengthened by its proximity to the United States, language skills, telecommunications infrastructure and tax benefits.

According to Omar Alejandro Aquino Bolaños, Sales Director for Latin America at MiR, nearshoring in Latin America and the Caribbean could increase the region's exports of goods and services by up to $78 billion, where the automotive, textile, pharmaceutical, Renewable energy and material handling will benefit significantly.

Check here: What are the markets that dominate industrial construction in Mexico?

US manufacturers have been running nearshoring operations in Mexico because they are attracted by the great potential of the market, but for many it is more a way to reduce costs and remain competitive.

Various companies in the medical device, aerospace, electrical and electronic devices, and automotive sectors are producing high-tech components and products where quality and reliability are not only expected, but required.

Unlike other geographies that have more experience in the material handling industry, the Mexican market is open to change and with the opportunity to continue adopting material handling products, services and technologies that facilitate the management of those who decide to move their operations. to this region.

Of interest: 850 thousand m² of industrial space are demanded during July and August 2022

While the market is poised to grow, not all players will be ready to capture the benefits as they need to create "end-to-end solutions" based on efficient models to facilitate delivery to customers, including a low-cost base and the ability to dilute capital expenditures, said Aquino Bolaños.

Latin America's potential as an up-and-coming software design and development powerhouse has been highlighted in geographic market research. The key success factors that have contributed to the emergence of Mexico and LATAM as a hotbed for nearshore investment are: real-time collaboration, cultural affinity, profitability, talent pool expansion, and English proficiency.

In Solili you can consult industrial warehouses available in Monterrey, Guadalajara and Tijuana 

Original note