The Electronics Industry in Mexico
The electronic industry focuses on products that transmit, receive or process some type of information. The industry is divided into five large subsectors: computers, semiconductors, communications, consumer electronics and medical instrument electronics.
Mexico is globally well positioned as an exporter and assembler of electronics. In 2011, the industry's production in Mexico was close to 63 billion dollars.
Mexico is particularly competitive in the subsector of consumer electronics, ranking among the top exporters globally in some products.
In 2011, exports of the Mexican industry reached a sum of 71.146 billion dollars. The United States was the main destination for exports, accounting for 85%, followed by Canada, the Netherlands and Colombia.
The products with the largest share in exports are televisions and their parts, followed by computers and mobile phones.
In 2011, Mexico had an important share of global television and computer exports. It is the world's leading exporter of flat screens, ranking above highly competitive Asian countries. In addition, it ranked as fourth computer exporter globally.
Foreign Direct Investment Attraction
According to the Ministry of Economy, between 2000 and 2011 accumulated foreign investment in the electronics industry reached 10.494 billion dollars and focused mainly on communications equipment, followed by computers and their parts and audiovisual equipment.
In 2010, foreign direct investment in this industry reached 616.7 million dollars, mainly from the United States, Singapore and Switzerland.
Companies Established in Mexico
Leading companies from the global electronics industry have operations in Mexico to serve the US and Canadian markets; eight of the top ten transnational electronics manufacturing services (EMS) are located in Mexico.
According to INEGI's last economic census, there are 777 economic units of the industry in Mexico, concentrated in Baja California, Sonora, Jalisco, Chihuahua and Nuevo León; in addition, the electronics manufacturing industry generates more than 300 thousand jobs in the country.
Some of the global main companies in the industry, such as Samsung, LG, Toshiba, Foxconn, Flextronics and Intel, have presence in Mexico.
Strengths of the Mexican Electronic Industry
•Talent. According to ANUIES, there are more than 790 thousand higher education students in engineering and technology programs, and around 115 thousand students graduate each year from these programs according with the Ministry of Public Education.
•Competitive Costs. According to KPMG, Mexico has the lowest operating costs in electronics equipment and component manufacturing in the Americas.
•Logistics Access. Mexico's closeness to the North American market has important advantages.