Mexico could join the chip programming
Mexico Industry | November 08, 2021 |

In the United States, two plants will be launched to produce semiconductors and Mexico's proposal is to focus on the programming of these chips, which could be carried out in cities such as Guadalajara and Mexicali, revealed Alberto Bustamante, interim executive president of the National Auto Parts Industry. (INA).

He explained that starting a chip factory requires two years and an investment of around 500 million dollars, making it a medium-term solution.

In addition, he said that it is not a matter of infrastructure, but of the robots that are needed to manufacture semiconductors, since first a generic chip is manufactured, which requires a high investment; later, programming is required and that is where Mexico has a great opportunity.

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"In the following weeks we will see part of this announcement and about what is the position of Mexico in the face of these investments that are being made in the United States," he said.

Oscar Albin, former president of the INA, said that 2021 will close with approximately 5.5 billion dollars less than the peak production in the history of the auto parts industry in Mexico, which was in 2019 prior to the pandemic, with about 98 billion dollars.

The problem of lack of raw material affects the level of performance; however, in general, it looks to be a good year and close at the forecast of 92 billion dollars, a level that has been showing in the last five years.

Regarding the production of auto parts, the northern border leads by representing 51.6% of the total manufacturing; followed by the Bajío region, with 31.1 percent.

Regarding the entities, Coahuila is located in the first place, with 17%; followed by Chihuahua, with 12.3%; and Guanajuato and Nuevo León, with 11.1 percent.

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Let us remember that 80% of the auto parts produced in Mexico end up in a new car factory in the United States and Canada, so being close to the border represents significant logistical savings.

As for the Bajío, Albin said that the region is more focused on national production, which has grown. Guanajuato is already displacing Nuevo León in third place, since the entity in the center of the country has engine and transmission plants, which helps these figures.

In Mexico there are around 600 Tier 1 and 900 Tier 2 + Tn suppliers; Furthermore, our country is the 5th largest producer of auto parts worldwide.

In Solili consult industrial warehouses available in Tecate, Reynosa and Ciudad Juárez

Original note

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