All Eyes on Aerospace Manufacturing in Mexico: Ways Shelter Companies Spark Growth

Aerospace manufacturing is on the rise, with a market size estimated to reach $791.78B USD within the next decade. Air travel demand and the increase in aviation technology have led to this surge in production for a variety of aircraft, including helicopters, passenger planes, and military-related spacecraft.

The aerospace sector in Mexico, in particular, is projected to grow to over $22 billion by 2029, gaining new foreign direct investment (FDI) every year. With several established hubs throughout the region, representing approximately 400 aerospace factories, this infrastructure gives incoming manufacturers access to a reliable supply chain, industrial buildings set up for aerospace materials production, and skilled labor.

As manufacturing companies worldwide strategize economical ways to meet production demands without sacrificing quality and/or being subject to highly inflated costs, manufacturing in Mexico remains key.

It’s a strategy that has successfully played out for decades, benefiting companies wanting to optimize costs and maintain quality while staying close to their key audiences. And, over the years, manufacturers have learned that, to maximize these efforts, working with a shelter services company makes all the difference.

Reasons to Partner with a Shelter Company

The strength of aerospace manufacturing in Mexico includes FDI from Gulfstream, Honeywell, and Collins Aerospace, among others, all of which have widely contributed to the global expansion of the sector.

Currently, Baja California is the most well-established region, with the largest concentration of aerospace companies, although other regions continue to gain momentum as well. However, regardless of where companies pursue Mexico manufacturing, the advantages of partnering with a shelter company remain the same. A few of the top highlights include:

• Local expertise and experience – Understanding the inner workings of industrial site selection, employee recruiting, and logistical optimization is important for a seamless operational setup, all of which a shelter services company shoulders the responsibility for.
• Foreign trade compliance – Mexico maintains mutual recognition of aerospace standards and safety agreements with over 40 countries, including the U.S. A shelter services company helps to streamline the import/export process and ensure companies maintain valid permits and certifications to uphold compliance even amidst changing regulations.
• Recruitment for top-tier talent – With an extensive network to draw from and experience in recruiting industrial talent for aerospace manufacturing firms, a shelter services company can provide the labor support necessary to operate, as well as help companies scale efforts as they grow.

Aerospace Manufacturing in Mexico FAQs

 What opportunities are there for the aerospace sector beyond Baja California?

Though Baja California supports the largest number of aerospace firms, other prominent areas include the aerospace manufacturing clusters in Sonora, Chihuahua, and Queretaro, which have a concentration of 100+ aerospace manufacturers combined.

How do aerospace manufacturing costs in Mexico compare to the U.S.?

U.S. and other foreign manufacturers rely on Mexico as a way to save on costs in multiple areas of the manufacturing process. For the aerospace sector, costs are approximately 18% lower than in the U.S.

Working with IVEMSA

As aerospace manufacturing in Mexico continues to thrive, having the industry expertise and experience of a shelter company available allows companies to set up production more quickly and efficiently.

For more information about the benefits and cost savings that manufacturing in Mexico provides, download Fast Facts: The Aerospace Manufacturing Advantage or contact our team today.

Sources: https://finance.yahoo.com/news/aerospace-market-size-worth-around-151600764.html

https://www.prodensa.com/insights/blog/the-aerospace-industry-in-mexico (internal reference only, since it seems like it could be a competitor)