How can US companies benefit from Mexico's infrastructure?

In the last edition of the World Economic Forum 2018-2019, Mexico ranked 48th in terms of infrastructure. During this edition, the new Global Competitiveness Index 4.0 was introduced, which now includes microeconomic and macroeconomic fundamentals of competitiveness based on 12 categories. In particular, the infrastructure category focuses on aspects such as road connectivity, road quality, airport connectivity and, the efficiency of air transport and rail services.

Mexico owns an ever-growing and innovative infrastructure for manufacturing and transportation. In Nepanoa, we know the value of Mexico for international commerce, especially for the US, whose exports and imports totaled an estimated $62.7 billion in 2019.

The US has found Mexico its largest goods trading partner, with $614.5 billion in total (two-way) goods trade during 2019. And this alliance has the potential to grow so much more. That is why here we share some key infrastructure advantages Mexico has in its favor:

  • Mexico ranks 18th in the world on kilometers of highways according to the CIA's The World Factbook. This places it second in Latin America, just after Brazil.

  • Mexico has an amazing geographical location that can be exploited in terms of infrastructure. For example, in 11 thousand 500 kilometers of coastline, there are 117 ports with terminals.

  • Mexico is one of the countries that has the most bilateral agreements and international trade treaties.

  • The Mexican rail system has 3,389 kilometers of tracks in operation.

  • Mexico has a long history of manufacturing, so there is already a robust infrastructure network in place, including railway and highway systems that cover the entire country and extend into the United States.

Its location and existing manufacturing and transport infrastructure makes Mexico one of the US's best allies in commerce.