Mexico's Competitive Advantages in the Aerospace Industry
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This Entrada Group (www.entradagroup.com) presentation explains why and how Mexico is becoming a key manufacturing destination for the world’s aerospace industry.
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Mexico's Competitive Advantages in the Aerospace Industry
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- Back in 2001, employment was at a mere 7,500 workers. By 2010, the number of jobs in the industry reached approximately 31,000, which represents a growth of 313% in nine years. In terms of employment, the aeronautical industry in Mexico is now as large as the aerospace manufacturing cluster of Montreal, Canada, a metro area renowned in the global aerospace community. By the end of 2010, there will be over 270 facilities in Mexico producing parts for the global aviation industry. This is more than four times as many plants as there were in 2001. By 2012, there will be over 300 aeronautical manufacturing facilities, and by 2015 Mexico will blast past the 400 mark.
- Aerospace development is set to soar, but could unexpectedly suffer gridlock: OEM’s may begin to slow down their growth due to lack of an established local supply chain; Tier-1 are reluctant to invest in Mexico due to lack of Tier-2; Tier-2 does not invest in Mexico as there is insufficient market.