Manufacturing Companies: 4 Reasons to Invest in Monterrey
Known as the country’s industrial capital, the city of Monterrey offers a privileged location and multiple growth opportunities for manufacturing companies. This article details some of the reasons why investing money in Monterrey is a smart decision for those in this industry sector.
Due to factors such as its proximity to the United States, a human capital of excellence and a business environment that favors industrial activity, the state of Nuevo Leon plays a leading role at a national level, but more specifically in the real estate market, where industrial spaces have a great relevance.
Investments in Monterrey: why are they so attractive for the manufacturing sector?
1. 100% industrial environment
More than 20% of the state’s GDP is of industrial origin and represents, in turn, 11.2% of the country’s manufacturing. In addition, it is estimated that its economic units represent 3.1% of the companies at a national level and that of this total, 23% of the companies1 are dedicated to the manufacturing industry. This business ecosystem is the first reason to invest money in Monterrey thinking in the long term.
2. Strategic Location
Many of the opportunities identified in the real estate market have to do with the proximity to the United States. This factor has become more relevant now that Asian manufacturing companies are looking for nearshoring or settlement in areas close to their export countries.
3. Possibility of attracting foreign direct investment
According to the Bank of Mexico, an important indicator is related to Foreign Direct Investment (FDI), which reported a significant increase during the first months of 2021. This investment was directed to the manufacturing sector by 46%2.
In the national context, Nuevo Leon ranks second in receiving FDI, with most companies coming from Asia (13.72%) and the United States (53.65%), which resulted in an investment of more than 3 billion3 dollars in 2020. This shows the great potential that this state has and why it is one of the most interesting areas for the installation and growth of manufacturing companies.
4. Nuevo León: automotive and logistics power
Automotive production is one of the most important in Nuevo Leon, home to more than 300 companies1 dedicated to it. This sector generates more than 90,000 jobs and is one of Mexico’s main manufacturers of automotive products. Similarly, in 2019, the entity became one of the most important logistics hubs in the country, thanks to the expansion of Amazon and the construction of new shipping centers in the state.At Advance Real Estate we are a company focused on the acquisition, operation and leasing of industrial projects in Mexico; we offer spaces that will maximize your investments in Monterrey, Nuevo Leon, as well as in Queretaro, Jalisco, Guanajuato and other states of the republic.
Information source:
- www.somosindustria.com/articulo/por-que-eligen-invertir-en-nl
- www.elfinanciero.com.mx/monterrey/…/norma-canales-termometro-del-sector-industrial-de-real-estate
- www.eleconomista.com.mx/estados/Mercado-industrial-de-Nuevo-Leon-supera-niveles-de-comercializacion-prepandemia-20210715-0151.html
- www.liderempresarial.com/monterrey-capital-de-la-industria-manufacturera
