Entrada Group Whitepaper: Despite Billions in Investment, Supply Challenges Remain for Mexico’s Auto Sector
Mexico’s growing demand-supply gap offers an investment opportunity of $25 Billion by 2020 for Tier Two and Tier Three auto parts suppliers
July 14, 2016 (Austin, TX) – Despite auto OEMs investing more than $35 Billion in new or expanded production facilities in Mexico throughout the past 15 years, inconsistencies remain for the country’s supply base. This creates a substantial growth opportunity—supply base sector predicted to reach approximately $25 Billion by 2020— for mid-market suppliers that are able to enter Mexico and manage their own operations.
In a newly released whitepaper from Entrada Group— a US-based company that helps manufacturers quickly establish highly productive operations in Mexico—examines this key area of concern in Mexico’s auto manufacturing sector that may hinder its future development and expansion.
Topics covered in the whitepaper include:
- Key Supplier Opportunities—What processes are most in demand from suppliers to Mexico’s auto sector.
- Challenges of Producing in Mexico, Even with a Client Identified –Although the urgency to get to Mexico may be created by an OEM or Tier One customer, the whitepaper examines the challenges many smaller suppliers face when required to produce in Mexico.
- Different Routes to Mexico— An overview of the different ways midsize suppliers can take to launch their Mexico footprint.
- Opportunities over Risks— An examination of how Mexico can represent a new phase of growth for midsize suppliers, if the establishment of the production process is managed correctly and carefully.
Note to editors: To obtain a copy of the complete report, please download the report from entradagroup.com/resources.