During the Wold Economic Forum at Davos 2024, Mexico has emphasized its position as a prime destination for foreign direct investment (FDI) through the promotion of nearshoring. According to the World Economic Forum (WEF), nearshoring is a business model based on relocating operations among neighboring countries.
This approach, centered on commercial activities and a shared productive culture, accelerates processes such as workforce and logistics delivery times, particularly in the industrial sector.
For Mexico, nearshoring emerges as an opportunity to boost productivity and strengthen geopolitical ties, especially with key North American trading partners like the United States and Canada. According to the Private Sector Economic Studies Center (CEESP), this model serves as an enabler for small and medium-sized enterprises (SMEs).
Mexico presents a competitive advantage for nearshoring:
In the high-level dialogue held at Davos 2024 titled "Mexico's Competitive Advantage in Nearshoring," the advantages of investing in Baja California (B.C.), Sonora, and Yucatán were highlighted. Representatives from the WEF addressed social and economic challenges with over 100 countries during the summit in Switzerland.
It was emphasized that nearshoring attracts new investments and reinvestments.
"Typically, we tend to see new investments, but with nearshoring, we'll witness the reinvestment of profits. If General Motors relocates its plant from China to Mexico, it might be a reinvestment of profits and won't be seen as a new investment, but it's nearshoring," stated a representative.
Barclays' FDI estimate aligns with calculations from the Mexican Business Council (CMN).
Investments exceeding $50 billion in 2024 are anticipated if relocation is effectively leveraged.