Mexico attracts US $64.7B in private investment through Q3 2024

From January through September, private companies announced their plans to invest over US $64.7 billion in Mexico, according to data published by the Economy Ministry (SE).

These investments are expected to materialize within the next two to three years, the SE said in a statement. 

A map highlighting the states in Mexico that have received the most investment announcements through September 2024.
A map highlighting the states in Mexico that have received the most investment announcements through September 2024. (SE)

In the statement, the SE reported that the manufacturing sector accounts for 56% of the total planned investment with an expected value of $36.9 billion. This segment includes the beverage, automobile, auto parts, iron and steel and electronic components industries.  

Next is the construction industry, with a planned investment of $7.46 billion, followed by the commerce sector with $6.9 billion. Finally, mass media, transportation, energy, professional services, real estate, mining and agriculture make up the rest of the industries with investment plans in Mexico. 

The countries that have announced the largest investments in Mexico include the United States, which accounts for 46% of the announcements, followed by companies from Germany with 11%, and Spain with 8%. 

Additionally, several other countries have announced investments in Mexico this year, including Canada, India, Brazil, China, Italy, France, Argentina, Switzerland, Colombia, Pakistan, Portugal, Austria, Philippines, Sweden, South Korea, the United Kingdom and Japan. 

The main destinations for investments in 2024, according to the SE, are Querétaro (11%), Nuevo León (11%), Veracruz (10%) and México state (10%).

The companies that have announced the largest investments so far this year are Mexican FEMSA group, with an expected investment of $9.9 billion, Amazon Web Services with $4.9 billion, DHL Supply Chain with $4 billion, Walmart with $3.9 billion and Constellation Brands with $3 billion. 

Regarding foreign direct investment (FDI), Economy Minister Marcelo Ebrard said in a conference on Wednesday that Mexico had received $35.7 billion in FDI from January to September 2024, a growth of 8.5% compared to the preliminary result for the same period in 2023.

The official projected that FDI in Mexico at the end of 2024 will be $38.2 billion, a record sum. 

According to the GBM’s Nearshoring Barometer 2024, from October 2022 to July 2024, Mexico has seen 118 foreign investment announcements totaling $122.7 billion. However, only $13.2 billion worth of these projects have been completed — meaning that 89% ($109 billion) remains unrealized.

With reports from El Economista

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