Mexican Manufacturing Mecca: Tijuana is Hotter than Ever09.15.14
Foreign companies operating manufacturing plants in Tijuana are not new to this Mexican city. Just across the border from San Diego, Tijuana has played host to global corporations seeking to reduce costs for over 50 years now. In fact, many of the businesses have been there multiple decades and have no intention of leaving. So why suddenly is Tijuana hotter than ever as a base of manufacturing operations?
“We’re seeing the effects of companies re-shoring, moving away from area like Asia and Indonesia as manufacturing hubs,” according to Rigel Navarro, Senior Business Development Executive of the Tijuana Economic Development Corporation. “As transportation costs rose and logistics became more complicated, manufacturers who want to stay price competitive are attracted to the benefits of doing business in Mexico.”
And nowhere are those benefits more clear than in this bustling, modern city. Tijuana is a strategic geographic location with access to three international airports, three commercial border crossings, two major ports, and road and rail connections. It boasts an established infrastructure of world-class manufacturing facilities, suppliers, over 1,200 logistics and distribution companies, and 100+ contract manufacturers that offer flexible solutions from high to low volume production.
As good as all that is, those in the know will tell you that the human capital available in the area is even more valuable. “Over the years, foreign companies operating in Tijuana have required and developed a highly trained labor force,” stated Alfredo Garcia, Vice President, Operations of IVEMSA, a local shelter and administrative services provider. “As a result new comers can easily find highly skilled workers that will enable them to hit the ground running with startup operations.”
Tijuana is already home to upwards of 600 companies in a large variety of different of different industries including, aerospace, automotive, electronics, biotechnology and medical devices which is the largest manufacturing employer in North America with over 35,000 workers in that industry. In addition, because of its location, the local population is truly bi-cultural allowing for greater ease of communication and a comfort level for those from the America’s seeking to establish manufacturing operations in the area.
With over 62M square feet of industrial space in the area, Tijuana is ready for the influx of new investors who want to stay globally competitive. For more information see the Tijuana EDC at www.tijuanaedc.org and www.ivemsa.com.
About Tijuana EDC
The Tijuana Economic Development Corporation (DEITAC as its acronym in Spanish) is a non-profit private organization , founded in 1989, dedicated to facilitating industrial operations and business opportunities within the Cali Baja Bi-National Mega Region that encompasses San Diego County, Imperial County and Baja California Mexico. Comprised by 120 leading service professionals and infrastructure providers, we offer foreign investors advisory and project management services for establishing successful manufacturing operations in the City of Tijuana. More information at www.tijuanaedc.org.