Manufacturing Sector

MANUFACTURING SECTOR

Automotive Industry – Billions
2020: $20.3
2025: $25.7
(CAGR 4.8%)

Medical Technological Equipment – Billions
2020: $482
2025: $629.9
(CAGR 5.5%)

Appliances (Non-Entertainment) – Billions
2020: $552
2025: $619.23
(CAGR 2.3%)

Consumer Electronics (Entertainment) – Billions
2020: $1,023.6
2025: $1,161
(CAGR 2.5%)

Specializing in the production of more of the same will not achieve the expected diversification and benefits in the region. In this sense, the productive and economic transformation will consist of expanding the productive knowledge base in order to conquer more complex goods. Without a doubt, the presence of the Chiapas Port should further reinforce the need to think beyond the raw materials available locally. One of the most important factories in Tapachula, the Yazaki harness plant, does not rely on local materials and yet operates a highly profitable and productive business in the region. Ultimately, the greatest profits and opportunities, not only for the region but for the state, will come from using the port to import raw materials, process them locally into more complex products, and export them*.

Logistics platform for economic diversification

• Multimodal and Intermodal Ports of Entry and Exit
• Warehouses/Warehouses
• Selection and Distribution Centers
• Multimodal and Intermodal Transport

• Development of Industrial Park(s)** taking advantage of the region's potential for Greenfield development.

• Development of Shelters*** as turnkey solutions to attract investment in the manufacturing sector.

• TIERs in the Automotive Industry, Home Appliances, Entertainment Electronics, Packaging, and Medical Equipment (Non-Technological and Technological)

• OMS for the manufacture of corrugated cardboard boxes for the packaging and transport of goods for multiple industries

• OMS for the manufacture of cardboard boxes for the packaging of the finished product for multiple industries

• OMS for the manufacture of virgin plastic and recycled plastic containers for multiple industries

• OEM sensor manufacturing for multiple industries

• Strengthening of the Logistics Infrastructure of Puerto Chiapas for the export and import of inputs, intermediate products and final products efficiently (just in time):

*Hausmann, Ricardo; Timothy Cheston and Miguel Angel Santos, "The Economic Complexity of Chiapas: Analysis of Capacities and Possibilities for Productive Diversification", in Center for International Development at Harvard University, September 2015, pp. 66.

**Refers to urbanized land subdivided into lots, according to a general plan, equipped with infrastructure (roads, means of transportation) and public services, whether or not it has factories built (in advance) and common services and facilities necessary for the establishment of industries. The "general plan" refers not only to the physical planning of the park but also to its immediate economic and social environment, as well as to the role assigned to it in the economic development plan.

***Refers to those projects that are carried out on an area in which there are no buildings, in such a way that it is not necessary to demolish, remodel, maintain or adapt structures for the development of the new project

Partnership with an established national company, which has the power to support the foreign company in the search for the location, equipment, and labor. And thus, the foreign company can start operations without delay and without the need to have a legal presence in the country in question. Among the advantages are: 1) It provides adequate infrastructure for business; 2) Save on start-up costs; 3) Reduction of customs costs when crossing the border; 4) Recruitment by Mexican professionals; 5) There is no direct legal obligation with the worker; are the responsibility of the shelter company; 6) Reduction of legal risks; 6) A neutralized learning curve, being in a foreign country

• STEM graduates of the State Total below the national average.
• Number of SNI Researchers below the national average.
• There are no CONACYT Centers (Only the regional office of the Southern Border Center)

• Chiapas Port
• Potential Greenfield (Industrial Park)
• Agglomeration of industrially oriented workers (from trade to manufacturing)
• State Export Platform

• Greater concentration of VCBA in Metal Products and transportation equipment (2018)
• 11.4% of the EU in the Manufacturing Industry at state level (2018)
• 16.84% of the Total Employed Personnel of the Food Industry at the state level (2018)

• +170 RIS3 in European regions with AEI in Advanced Manufacturing
• National Market with a value of US4 97.8 Billion (2021) - Export Reference (Automotive, Appliances, Electronics and Medical Devices)
• International Market with a value of US$ 2.4 Trillion CAGR 4.8% (2020 - 2025)

The Soconusco Region finds its greatest opportunity in this segment, strengthening the port to import raw materials, process them locally into more complex products, and export them to the larger, more attractive markets of the Pacific.

Replicate by "n" the case of the Yazaki harness plants in high-potential sectors.

Manufacturing sector potential