Mexico, United States Strategizing Plan To Bring Businesses From Asia To North America

Mexico and the United States are reportedly collaborating to bring companies to North America from Asia. The move is a result of a meeting between Economy Minister Raquel Buenrostro and U.S. Secretary of Commerce Gina Raimondo.

The two parties will put together a joint presentation for the private sector, showing them the opportunities they would have if they should relocate their companies. This would also include the economic and fiscal benefits for firms who want to do better business.

The joint presentation will reportedly be put forth in the first two months of 2023. According to Buenrostro, there are already over 400 companies who already have the attention to carry out the relocation process from Asia to Mexico, Reuters reported.

This would be welcome news, especially considering the US-China trade war. A move from Asia to North America would provide several benefits such as affordable labor costs and USMCA free trade pact-associated benefits.

Among the businesses that could make sense are that of printed circuit boards and semiconductors.

The United States invited Mexico to take advantage of the massive investment of the United States, particularly in the semiconductor industry.

The U.S. Department of Commerce released a strategy in September, outlining how it would implement $50 billion from the CHIPS and Science Act of 2022, an executive order that U.S. President Joe Biden signed in August.

“Through [the U.S.-Mexico] High-Level Economic Dialogue, both governments agreed to strengthen coordination to create better [economic] conditions and accelerate the arrival of new investment to Mexico,” the ministry said.

Tied to this are the requirements that workers would need should they relocate to North America. It is here why Buenrostro and Raimondo emphasized the importance of the Economy Ministry acting as a one-stop shop for the attraction of capital. This would include all permits and authorizations required for the establishment of new companies.

“They also discussed areas of mutual interest such as renewable energy,” the U.S. Department of Commerce said in a press release.