It seems like automakers across the globe have found their favorite manufacturing hub in Mexico. This can be credited to the following reasons:

•    The country’s strategic location
•    Free trade agreements
•    Quality production
•    Convenient logistics
•    Low costs production

 Here is a look at what major global automobile manufacturing have in their kitty for future production in the new powerhouse of the auto-making industry.



Toyota, the Japanese multinational automaker plans to source cars from Mazda’s Mexican plant from 2015. Mazda agreed to build a Toyota branded subcompact car at a $500 million plant the company is building in the central state of Guanajuato. The factory will supply Toyota with 50,000 units of the vehicle annually when production begins in mid-2015.

This shows that Mexico is on firm grounds when it comes to quality production and how global agencies are taking note of this feature. According to researcher LMC Automotive, Mexico’s vehicle output will definitely reach the record landmark of 2.86 million units by the closing of the year.

While Nissan adds its third factory in Mexico (Nissan Invests $2 Billion To Build New Plant In Mexico), Honda is building its first large Mexico assembly plant. Ford is already on with its production of midsize sedans. In 2016 the country will get its first luxury vehicle plant by Volkswagen’s Audi. 

 According to Bloomberg, Mexico with 44 trade agreements makes it convenient and an attractive export platform to ship cars to South America, Asia and Africa as well as the U.S. and Canada. Surprisingly the country has more free-trade agreements than the United States.

Mexico is shedding its image as a source of low-cost labor as the country has started to be recognized for quality work. Investments amounting to $7.8 billion have been already announced in the past 24 months by various automakers. Going by this trend it is estimated that by 2017 Mexico’s light-vehicle production probably will rise 34 percent to 3.83 million.

It is now globally accepted that Mexico will soon emerge as a global leader as industrialization is on the rise. The country is turning all factors into its stride and is all set for a major comeback on the global economic front.