Top Aerospace FDI Destination: Querétaro Mexico

Querétaro Mexico is known for its thriving manufacturing industry. It’s a hub for aerospace, automotive, and electronics manufacturing. The state’s strategic location, skilled workforce, and well-developed infrastructure have attracted numerous companies to set up manufacturing facilities there.

According to the completion of six investment announcements for the state a total of more than US$117 million and the creation of 1,950 new jobs, Querétaro has emerged as the leading state in luring Foreign Direct Investment (FDI) in the country's aerospace sector.

Based to the head of Querétaro's Secretariat for Sustainable Development (Sedesu), in an interview with A21, the expansion of suppliers and the hiring of indirect services, among other things, might result in a potential double-digit increase in the number of indirect jobs created by this investment—nearly 4,000. The state added 20,360 new formal sector jobs in the first four months of 2023, an increase of 11.8% over the 18,217 new formal sector jobs that were added during the same time in 2022.

Over the past ten years, the aerospace industry in Querétaro has been quickly growing and becoming more significant across Mexico and overseas. Experts argue that because of the incentives provided to business owners in the aerospace industry, the state has emerged as a location for foreign direct investment (FDI).

Some of the main companies in the aerospace industry located in Querétaro are: Safran, Bombardier, Aernnova, PCC Aeroestructuras, Meggitt Aircraft among others.

One of the major manufacturing hubs in Mexico and Latin America has established itself as the Central-Bajío region.

General Motors, Honda, BMW, Nissan, Volkswagen, Mazda, and Toyota are just a few of the automakers with production facilities here that are active in Mexico. Another pillar that fuels economic activity in the region is the production of auto parts, which includes stampings, electrical components, brakes and their parts, rubber products, and engine and transmission parts for cars.

According to CBRE, the Bajío is one of the top areas in the country in terms of land availability for building industrial warehouses as much as northeastern industrial powerhouses like Monterrey, Nuevo León, and Saltillo, Coahuila.

Using a shelter company like Co-Production International (CPI), can offer numerous benefits to foreign companies looking to establish a presence in Mexico. A shelter company provides a range of support services to help foreign companies navigate the complex legal and regulatory landscape in Mexico, from obtaining permits and licenses to complying with labor and environmental regulations. This can save companies time and money, allowing them to focus on their core business activities.