Commercial sector overtakes manufacturing as top FDI target in Mexico

U.S. commercialized policies are reshaping Mexico’s overseas concern profile, temporarily knocking the manufacturing assemblage disconnected its perch arsenic the country’s astir charismatic investment.

According to the quality mag Expansión, the commercialized assemblage has displaced manufacturing arsenic the largest people of overseas nonstop concern (FDI) successful Mexico, with 42% of each concern announcements made during the archetypal 4th of the twelvemonth going to profit-driven stores and businesses.

Citing information from the Economy Ministry (SE), Expansión reported that the 39 concern announcements made during the archetypal 4th of 2025 surpassed a full of US $25.8 billion, but lone 24% of that targeted the manufacturing sector, which has been a precedence for FDI. 

Last year, an SE study described Mexico arsenic “a specialized manufacturing halfway with a increasing request for concern superior to make the country’s concern base.”

SE information revealed that during the archetypal 4th of 2024, more than $8.5 cardinal of the $20.3 cardinal successful FDI (42%) received by Mexico went to the manufacturing sector, chiefly successful the autoparts industry.

The adjacent most-favored assemblage successful 2024 was fiscal services (25%), followed by mining (12%), proscription (6%) and trade, which was breached down into wholesale commercialized (5%) and retail commercialized (3%). 

This year, Expansión reports, uncertainty caused by U.S. tariffs has prompted overseas investors to reconsider the reliability of Mexico arsenic an export platform. 

At the aforesaid time, the 2025 Kearney FDI Confidence Index released past period showed Mexico had sunk to 25th and past successful its planetary rankings. Investors polled cited home economical show arsenic a apical priority, and analysts task stagnant maturation for Mexico this year. 

“The uncertainty has impacted semipermanent decisions, particularly for companies with cross-border flows,” Expansión wrote.

In bluish Mexico — location to automotive, aerospace, electronics, and dense metallic manufacturing enterprises — executives told Expansión that concern enlargement plans are being paused not owed to deficiency of capital, but due to the fact that of uncertainty.

The volatile situation has besides resulted successful higher logistical costs, prompting immoderate multinationals to contemplate relocating their accumulation chains. 

This improvement has produced a paradox. “The state that appeared to beryllium the main beneficiary of nearshoring is present facing unexpected obstacles,” Expansión wrote.

Expansión cited a study by Spanish fiscal services institution BBVA indicating that Mexico’s manufacturing remains the astir important “structural recipient” of FDI, due to the fact that of the viability of its products. However, the summation successful concern announcements prioritizing the commercialized assemblage hints astatine an important evolution.

Retail commercialized and e-trade — with Walmart and Mercado Libre arsenic the large players present — are gaining crushed arsenic cardinal shelters for FDI successful Mexico. 

As evidence, first-quarter concern announcements successful this assemblage surpassed $11 billion, astir treble the $6 cardinal recorded successful the archetypal 4th of 2024.

With reports from Expansión and La Jornada