Mexico’s private sector announced 209 FDI projects that created more than 99,700 jobs between January and September 2024, according to Mexico’s Ministry of Economy. The investments are worth $64 billion.
The projects are mainly aimed at the manufacturing sector, which accounts for 56% of direct foreign investments. Construction takes up 12%, trade 11%, mass media 10% and transport 8%.
The automotive industry is most represented within these investments. The most important investor countries are the US (46%), Germany (11%) and Spain (8%).
What awaits the FDI landscape in Mexico when a new president takes over?
Sheinbaum’s softer tone
Mexico’s new president, Claudia Sheinbaum, has taken a softer tone on the role of foreign investment than her predecessor and mentor Andres Manuel Lopez Obrador (AMLO).
While the ruling Morena party was preparing for a highly controversial proposal judicial reform where all judges would be appointed through elections, AMLO was clear that the aim of the reform was, at least in part, to harm foreign investors.
“Will (the judges) continue to defend foreign companies that come to loot, rob and influence the economy of the Mexican people? (…) Are they going to continue to represent these companies?” he declared.
As concerns grew about what judicial reform would do to investment confidence, Sheinbaum took a softer approach, meeting with foreign business leaders and investors to calm their nerves.
“I say this very clearly: be assured that the investments of national and foreign shareholders will be safe in our country,” she added during her inauguration.
Analysts say that there are many signs that Sheinbaum is ready to open the clean energy space. For these efforts to succeed, she will have to deal with the oil industry, judicial reforms and anti-foreign investor trends in her party.
“FDI investments created 99,000 jobs in Mexico this year” was originally created and published by Investment monitora brand owned by GlobalData.
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