Production of refrigerators and washing machines in Mexico will grow 8% due to relocations
Forbes | January 24, 2023 |

The North American Free Trade Agreement (NAFTA) transformed several cities on Mexico's northern border into world manufacturing capitals for refrigerators, washing machines, air conditioners, stoves, electric water heaters, and vacuum cleaners.

Now, nearshoring will make it scale several places in the world production of these household appliances, since Mexico is taking advantage of its position so that in terms of production and investment there will be a growth of 8%”, declares Yoelle Rojas, director of the Household Appliances Cluster of Nuevo Leon (CLELAC).

During 2022, we saw investment in new, expanding or developing plants, such as Bosch and Hisense in Nuevo León,  Whirlpool in Coahuila, Nuevo León and Guanajuato, as well as Samsung in Querétaro and Tijuana.

Check here: Reynosa was the border market where industrial demand increased the most in 2022

The investment for new plants or expansion of the existing ones for refrigerators, washing machines, air conditioners, kitchens and electric water heaters is based on the intention registered during the CLELAC Business Meetings, he tells Forbes Mexico.

In 2022, home appliance manufacturers invested more than 1.15 billion dollars in Mexico, a record number for members of the Nuevo León cluster, he adds. The value of the industry of refrigerators, washing machines, air conditioners, stoves, electric water heaters and vacuum cleaners in Mexico is 14.8 billion dollars, Rojas estimates.

Currently, Mexico is the fifth largest producer of household appliances in the world, which has allowed the development of a solid supply chain, which in many cases reaches up to 20 years of experience and specialization.

Of interest: Ciudad Juárez will continue as one of the leading growing industrial markets in 2023

Throughout this year, the opening of some 25 industrial parks is projected in Mexico. The increase in this infrastructure is important for all industries; that of household appliances, for example, today occupies up to 12% of the existing space. If the trend continues, we could see the occupation of new spaces by the industry dedicated to the assembly and manufacture of white line products.

The arrival of new technologies in the home appliance industry, such as the Internet of Things, is another important opportunity to keep production in the main assembly companies up, as well as the need for specialization on the part of the supply chain.

In Solili you can consult industrial warehouses available in Mexico City and Guadalajara

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