Manufacturing in Mexico for 2025: Growth, Opportunities, and New Investments
The Manufacturing in Mexico is gaining global attention. With new investments, tax incentives, and infrastructure enhancements, 2025 is poised to be a pivotal year for the manufacturing sector.
For companies seeking to expand, reduce operational costs, and leverage the advantages of nearshoring, this is an opportune moment.
Manufacturing in Mexico and the Impact of Plan Mexico
Earlier this year, the government introduced the Plan Mexico, an ambitious strategy aimed at attracting over $277 billion USD in investments between 2025 and 2030. But how does this impact manufacturing?
- Job creation and industrial development: An estimated 1.5 million jobs will be created in sectors such as manufacturing, technology, and energy.
- Tax incentives for the manufacturing industry: Companies investing in innovation and production will benefit from reductions in operating costs.
- Less dependence on Asia: Mexico is prioritizing local production , thereby decreasing imports and enhancing competitiveness.
These measures aim to position Mexico among the top ten largest economies globally, creating a favorable environment for companies intending to establish or expand operations.
Energy and Transportation: Key Infrastructure for Manufacturing Growth
For Manufacturing in Mexico to continue growing, reliable infrastructure is essential. The country is investing in two critical areas: energy and transportation. This translates into:
Energy Expansion: More Capacity, Lower Costs
- Anticipated increases of 22,000 MW in power generation by 2030..
- An investment of $12.3 billion in new power generation facilities.
- Up to 45% of energy production will be clean, reducing costs and improving business competitiveness.
- Pemex will receive a $2.07 trillion MXN investment to ensure a steady fuel supply for the industry.
Shorter Wait Times, Greater Logistics Efficiency
- The construction of 3,000+ km of new railway tracks for freight and passenger transport.
- Urban mobility infrastructure to improve connectivity between industrial regions.
- Why is this key for manufacturing in Mexico? Lower energy and transportation costs allow companies to produce faster, at lower costs, and reach new markets more easily.
IMMEX 4.0: Streamlining Export Manufacturing Procedures
The government has introduced IMMEX 4.0, an updated version of the Export Manufacturing Program, aimed at simplifying the establishment of foreign companies in Mexico.
What changes with IMMEX 4.0 for Mexico’s manufacturing industry?
- 50% faster startup time for new businesses.
- Streamlined processes within the Ministry of Finance.
- Greater access to tax and customs incentives for manufacturing companies.
Through this initiative, Mexico aims to further attract export manufacturing, easing the entry of new companies and supporting the expansion of existing ones.
Tax Incentives: Cost Reduction for Manufacturing in Mexico
Beyond infrastructure improvements and streamlined processes, the government is offering fiscal incentives to boost the manufacturing industry in Mexico.
- Immediate tax deductions for the purchase of equipment and machinery.
- Additional 25% deduction on innovation and training expenses.
- Relocation incentives for companies looking to move production to Mexico. (Nearshoring)
- Lower taxes + more incentives = More competitive and profitable production.
Growth and Sustainability Outlook
Mexican technology exports are forecasted to grow by 25% by 2025, driven by innovation and the integration of advanced technologies. Key sectors such as automotive and electronics are expected to spearhead this growth, emphasizing sustainable practices and reducing carbon emissions.
Mexico: An Increasingly Attractive Hub for Manufacturing
All conditions are in place for Mexico to establish itself as one of the world’s leading manufacturing centers by 2025.
For companies seeking to:
- Reduce operational and tax costs.
- Leverage top-tier energy and logistics infrastructure.
- Access tax incentives and export manufacturing programs.
This is the ideal moment to expand operations in Mexico.
Source:
- Plan México: https://www.planmexico.gob.mx/
- Decreto de Estímulos Fiscales https://dof.gob.mx/nota_detalle.php?codigo=5747410&fecha=21%2F01%2F2025&utm#gsc.tab=0https://www.planmexico.gob.mx/
- Perspectivas de Crecimiento: https://puertointerior.guanajuato.gob.mx/blog/2024/12/30/transformaciones-significativas-en-la-supply-chain-global-y-perspectivas-para-mexico-en-2025/
