With a global trade war in the offing, manufacturing options closer to home are looking more compelling to U.S. companies. Luis Miranda, founder and managing director of Guadalajara-based tenant representation firm Discovery CRE, cites numerous factors in favor of nearshoring operations to Mexico. Not least of these is the fact that the proximity between the U.S. and Mexico offers logistical advantages.
Compared to China, which Mexico surpassed two years ago as the United States’ leading trading partner, transportation from Mexico simply requires less time. “If you see the distance from port to port between China and the U.S., it’s at least three to four weeks,” Miranda told Connect CRE. “Depending on where you are in Mexico, it could be on the same day or in two or three days.”
DiscoveryCRE is Mexico's Premier Commercial Real Estate Liaison Specializing in Nearshoring and Industrial Tenant Site Selection. We help companies make informed SITE SELECTION decisions. Manufacturing and Logistics Operations.
When nearshoring to Mexico, having the right partner makes all the difference. Our team primarily represents industrial tenants and buyers providing expert site selection and facility acquisition for manufacturing and logistics companies across Mexico.
Ready to simplify your Mexico expansion?
USA and Canada Toll free number 1 (800) 603-3460
Mexico Toll Free number 800 099 1437
Guadalajara Telephone number +52 33 3348 2317
Luis@DiscoveryCRE.com
Thank you for reading our edition of the MexicoCRE Newsletter. Stay tuned for more updates and investment opportunities! 🙏
DiscoveryCRE is Mexico's Premier Commercial Real Estate Liaison Specializing in Nearshoring and Industrial Tenant Site Selection. We help companies make informed SITE SELECTION decisions. Manufacturing and Logistics Operations.
When nearshoring to Mexico, having the right partner makes all the difference. Our team primarily represents industrial tenants and buyers providing expert site selection and facility acquisition for manufacturing and logistics companies across Mexico.
Ready to simplify your Mexico expansion?
USA and Canada Toll free number 1 (800) 603-3460
Mexico Toll Free number 800 099 1437
Guadalajara Telephone number +52 33 3348 2317
Luis@DiscoveryCRE.com
Thank you for reading our edition of the MexicoCRE Newsletter. Stay tuned for more updates and investment opportunities! 🙏
As global supply chains continue to evolve, Mexico's strategic position as a nearshoring destination is reaching new heights. The first quarter of 2025 has witnessed new investments across multiple sectors, with particular strength in automotive, industrial real estate, and infrastructure development. This surge is backed by significant foreign direct investment, especially from USA, Asian and European manufacturers seeking to establish or expand their North American presence .
The automotive sector continues to demonstrate robust growth with several significant investments:
Guanajuato's Automotive Powerhouse:
SK TEC announced a $380 million MXN expansion of their automotive plant in Irapuato
Japanese manufacturer Senyo committed $22 million for a new facility
Mazda reaffirmed their investment commitment during the Governor's visit to Japan
The state secured $48.1 million in automotive investments during Q1 2025
San Luis Potosí's Industrial Expansion:
Kingfa Science & Technology announced an $84 million investment for a new plant
A major steel group is establishing a new steel mill with 1.25 million tons capacity
Puebla's Resurgence:
The region is experiencing renewed automotive investments following U.S. tariff relief
Multiple OEMs are considering expansion plans in the region
The industrial real estate sector is experiencing unprecedented growth :
State of Mexico (EdoMex) Boom:
AMEFIBRA announced $5.63 billion in new projects
The region has attracted $3.7 billion in industrial and logistics investments
Vacancy rates remain at historic lows of 8.5%
Valley of Mexico Demand Surge:
Industrial warehouse demand continues to rise
E-commerce driving significant space requirements
Average industrial rents reached $8.44 per square foot, up 6.7% year-over-year
Monterrey Market Dynamics:
Strong start to 2025 with industrial and financial sector growth
Office market showing stability with increased demand from manufacturing companies
Progreso Port Expansion:
Major infrastructure project to create a deep-sea port
Channel widening to over 500 feet and depth increase to 47 feet
$367 million government investment as part of $1.6 billion national ports initiative
Expected to handle increased cargo volumes and larger vessels
New Manufacturing Facilities:
Grupo EPTA announcing new plant construction in Querétaro
Foxconn exploring investment opportunities in Ciudad Obregón
ATECS establishing new facility in León for electric vehicle components
The current investment landscape reflects strong confidence in Mexico's manufacturing and logistics capabilities:
Investment Trends:
Continued shift of manufacturing from Asia to Mexico
Strong focus on EV and sustainable manufacturing
Rising industrial rents across key markets
Regional Highlights:
Bajío region (including Guanajuato, Querétaro, SLP) leading in automotive investments
EdoMex emerging as prime industrial real estate market
Yucatán positioning for increased trade through Progreso port expansion
Nearshoring Impact:
Supply chain resilience driving location decisions
USMCA benefits attracting more Asian and European manufacturers
Infrastructure investments supporting growing industrial demand
As Mexico continues to capitalize on nearshoring opportunities, the industrial real estate and manufacturing sectors are poised for sustained growth. The combination of strategic infrastructure investments, automotive sector expansion, and robust industrial real estate development creates a strong foundation for continued economic development. With over $6.5 billion in announced investments this quarter alone, Mexico's position as a prime nearshoring destination continues to strengthen.
DiscoveryCRE is Mexico's Premier Commercial Real Estate Liaison Specializing in Nearshoring and Industrial Tenant Site Selection. We help companies make informed SITE SELECTION decisions. Manufacturing and Logistics Operations.
When nearshoring to Mexico, having the right partner makes all the difference. Our team primarily represents industrial tenants and buyers providing expert site selection and facility acquisition for manufacturing and logistics companies across Mexico.
Ready to simplify your Mexico expansion?
USA and Canada Toll free number 1 (800) 603-3460
Mexico Toll Free number 800 099 1437
Guadalajara Telephone number +52 33 3348 2317
Luis@DiscoveryCRE.com
Thank you for reading our edition of the MexicoCRE Newsletter. Stay tuned for more updates and investment opportunities! 🙏
As Mexico maintains its position as the United States' top trading partner, the country's industrial and commercial real estate sectors are experiencing growth driven by nearshoring trends. With over $500 million in newly announced investments across strategic locations, including Jalisco, Querétaro, San Luis Potosí, and Nuevo León, the first quarter of 2025 demonstrates Mexico's strengthening position as a prime destination for manufacturing and logistics operations .
Mexico exported goods worth US $131.29 billion to the world’s largest economy in the first quarter, up 9.5% compared to the same period of 2024. In the first three months of 2025, Mexico was again the world´s largest exporter to the United States according to data published by the U.S. Census Bureau on Tuesday. Mexico beat out Canada and China to retain its position as the top exporter to the United States. Canada’s earnings from exports sent to the U.S. increased 7.9% annually in the first quarter to $108.93 billion, while China’s revenue rose 5.1% to $102.65 billion. Mexico’s share of the United States’ $948 billion market for imports in the first three months of the year was 13.8%.
Investment: $250 million
Location: Nuevo León
Project Details: Development of a state-of-the-art intermodal terminal
Impact: Set to enhance logistics capabilities in Northern Mexico
Company Background: Bulkmatic, a leading dry bulk transportation company, continues its strategic expansion in Mexico, leveraging its expertise in bulk trucking, transload, and warehousing solutions .
Odata, a subsidiary of Aligned Data Centers, has officially launched operations at its new data center campus, DC QR03, located in Querétaro, Mexico. This ambitious project represents an investment of over $3 billion and aims to provide a total capacity of 300 megawatts (MW) once fully completed. The first phase of the campus, which began operations in February 2025, currently delivers 200 MW and includes a facility designed to support cloud services and artificial intelligence, with a capacity of 72 MW .
Querétaro has emerged as a significant hub for digital infrastructure in Mexico, with 15 data centers currently operational and projections indicating that this number could exceed 35 in the coming years, driven by investments surpassing $12 billion since 2009 . Odata's CEO, Ricardo Alário, highlighted that the campus has already secured three hyper-scale clients and is strategically positioned to serve both national and U.S. markets, particularly in light of energy restrictions in certain U.S. regions .
The project also addresses energy availability challenges in the sector, with plans for an additional 400 MW expansion, marking one of the largest initiatives of its kind in Mexico . Furthermore, Odata has introduced its patented Delta Cube cooling system, which enhances energy efficiency by directly capturing heat from server racks and can be integrated with hybrid cooling solutions .
Overall, the establishment of QR03 reinforces Querétaro's role as a key data center hub in Mexico, complementing investments from major companies like AWS, Google, and Microsoft in the region .
Suacero, a Mexican company specializing in steel production, is investing 750 million pesos to expand its plant located in Soledad Graciano Sánchez, San Luis Potosí. This expansion aims to double its production capacity from the current 260,000 tons annually. The project is expected to create 550 new jobs, contributing significantly to the local economy .
The CEO of Suacero, José Canales Salazar, emphasized the importance of promoting national production amidst global financial uncertainties and reducing reliance on imports. He highlighted San Luis Potosí's competitive environment, which has attracted over 8.5 billion dollars in investments over the past three years .
Suacero is committed to sustainability, utilizing 100% recyclable scrap as raw material and employing renewable energy sources. The company also engages in environmental initiatives, such as reforestation efforts through its "SUACERO Verde" campaign .
Meor, a real estate developer, plans to invest $1.5 billion in acquiring stabilized industrial parks in Mexico over the next five to seven years. This investment aims to capitalize on the growing trend of nearshoring, which involves relocating production closer to the U.S. market. The company intends to add 1.1 million square meters of gross leasable area across key locations.. This initiative is part of Meor's broader strategy to develop eight industrial parks, enhancing logistics and operational efficiency for businesses in the region.
The auto parts industry is increasingly establishing a presence in Yucatán, a region not traditionally known for automotive manufacturing. In 2024, Yucatán experienced an 8.1% growth in automotive parts production, the highest in Mexico, indicating a significant shift in the region's industrial landscape . This growth is attributed to investments from companies looking to complement their manufacturing processes and export to Central America .
Yucatán's exports of transportation equipment surged by 81.9% in 2024, reflecting its growing role in the automotive and aerospace sectors . The region has attracted $99.8 million in Foreign Direct Investment for transportation equipment manufacturing since 2006, with a notable portion directed towards the aerospace sector .
Key factors influencing this growth include improvements in infrastructure, energy supply, and the development of human capital through partnerships between industry and universities .
In the first quarter of 2025, Baja California attracted US$4 billion in foreign direct investment (FDI), accounting for 16% of Mexico's total FDI during this period. This influx of investment has resulted in the creation of over 19,600 direct jobs in the state. The significant interest from global companies is attributed to the region's competitive and stable conditions.
A notable investment announcement came from Sempra Energy, which plans to invest approximately US$3.5 billion in energy infrastructure within Baja California. Overall, the commerce sector led the national FDI attraction with US$11 billion, highlighting Baja California's crucial role in employment and investment dynamics. The state government credits this growth to effective coordination with various government levels and strategic initiatives aimed at bolstering key sectors in the region .
The industrial real estate sector in Mexico continues to show strong growth potential, driven by nearshoring trends and strategic advantages. Key challenges include:
Need for infrastructure improvements
Limited availability of industrial-zoned land
Increasing demand for Class A facilities
However, the ongoing investments and development projects demonstrate strong market confidence and suggest continued growth in the sector. The combination of strategic location, competitive labor costs, and strong trade agreements positions Mexico favorably for continued industrial real estate expansion.
DiscoveryCRE is Mexico's Premier Commercial Real Estate Liaison Specializing in Nearshoring and Industrial Tenant Site Selection. We help companies make informed SITE SELECTION decisions. Manufacturing and Logistics Operations.
When nearshoring to Mexico, having the right partner makes all the difference. Our team primarily represents industrial tenants and buyers providing expert site selection and facility acquisition for manufacturing and logistics companies across Mexico.
Ready to simplify your Mexico expansion?
USA and Canada Toll free number 1 (800) 603-3460
Mexico Toll Free number 800 099 1437
Guadalajara Telephone number +52 33 3348 2317
Luis@DiscoveryCRE.com
Thank you for reading our edition of the MexicoCRE Newsletter. Stay tuned for more updates and investment opportunities! 🙏
The United States’ proposed tax on outgoing remittances, the upcoming renewal of Mexico’s judiciary and the appointment of a controversial former government official to an international role were among the issues President Claudia Sheinbaum spoke about at her Monday morning press conference.
Here is a recap of the president’s June 30 mañanera.
Sheinbaum noted that the U.S. Senate’s proposed tax on remittances sent abroad from the United States is just 1% and will only apply to cash transfers, if approved by the U.S. Congress.
(A marathon voting session in the U.S. Senate on Donald Trump’s “One Big, Beautiful Bill” was still taking place at the time of writing.)
The president asserted that pressure exerted by Mexicans in the United States was a major factor in the reduction of the proposed rate, from 5% originally, and 3.5% in legislation approved by the U.S. House of Representatives.
“That achievement is of our compatriots, mainly due to the sending of letters to senators, especially by those who have dual nationality,” Sheinbaum said.
“… A lot of letters arrived [to senators],” she said.
“… How did the wording end up? It ended up at [a] 1% [tax], but only on remittances sent in cash. All the electronic transfers will have a 0% tax. And more than 90% [of remittances] are sent by electronic transfers,” Sheinbaum said.
“For those who send in cash, on Friday this week we’re going to announce a special program … in order to be able to reimburse that 1%,” she said.
Sheinbaum subsequently noted that “according to the Bank of Mexico, 99% of remittances [to Mexico] are sent by electronic transfer.”
“… And those who send in cash are a very small percentage. And for those who send in cash, we’re going to provide a reimbursement of that 1% through the [government] Finabien card,” she said.
A reporter noted that judges elected at Mexico’s first-ever judicial elections, including Supreme Court justices, will assume their positions on Sept. 1. Many of the judges elected are aligned with, or seen as sympathetic to, the ruling Morena party, leading to claims that an essential check on executive and legislative power will be lost.
Sheinbaum asserted that the judicial system will “work well” once the judges elected on June 1 assume their positions.
“Better than the current one, much better, and it will become stronger so there is justice in the country, not like now, with a very corrupt judiciary,” she said.
A reporter noted that around 20,000 people have been arrested for high-impact crimes since the current government took office on Oct. 1.
The latest figure, provided by Security Minister Omar García Harfuch last week, was in fact 24,652 people.
“Where do they go? In which prisons are they? Are you thinking about opening new detention centers?” the reporter asked.
“There is also a policy for penitentiary centers,” Sheinbaum responded.
“We’ll announce it in due course,” she said.
Sheinbaum confirmed that former deputy health minister Hugo López-Gatell will be Mexico’s next representative to the World Health Organization.
She said she didn’t know the exact date he would start in the position as Mexico’s delegate to the Geneva-based specialized United Nations agency.
“I appointed him,” Sheinbaum said, noting that the designation doesn’t require the approval of the Senate.
López-Gatell became a household name in Mexico due to his leadership of Mexico’s (widely criticized) pandemic response. He later became Mexico’s addiction prevention czar.
Former presidential candidate and current National Action Party Senator Ricardo Anaya was among the people who criticized the appointment of López-Gatell to the WHO role.
“Doctor death, the person responsible for many of the [pandemic] deaths, is being named as Mexico’s representative to the World Health Organization. Our deepest, most forceful rejection of that appointment,” he said.
By Mexico News Daily chief staff writer Peter Davies (peter.davies@mexiconewsdaily.com)
The post Sheinbaum seeks to reimburse US tax on cash remittances: Monday’s mañanera recapped appeared first on Mexico News Daily
