Guanajuato Stands Out in its Economic Activity Automotive Industry

By Lizete Hernández

One out of every three vehicles produced in Mexico are made in Guanajuato and it is positioned as the sixth most important state in the country in terms of its economy according to the National Institute of Statistics and Geography (INEGI), as the Gross Domestic Product of the entity is only below Mexico City, State of Mexico, Nuevo Leon, Jalisco and Veracruz.

The main productive activities in the state are commerce, construction, machinery and equipment manufacturing, food industry, real estate services and rental of goods, furniture and intangibles.

According to the Ministry of Sustainable Economic Development (SDES), the automotive industry in the state of Guanajuato reported 10 percent growth at the close of 2021, as well as 18 percent in the auto parts sector. The attraction of investments in this sector was replicated in municipalities outside the industrial corridor such as San Luis de la Paz, San Miguel de Allende and San Felipe.

The state registered greater recovery and growth, standing out in the specialization for the manufacture of auto parts, where it ranked fourth nationally and first in the country in the production of light vehicles.

In the auto parts sector, the state grew above the national average with a 10 percent increase in production at the state level, with the generation of 2,000 jobs for the expansion of some companies.

The Guanajuato Automotive Cluster (CLAUGTO) reported that in 2021, the state reported a 6 percent growth in vehicle manufacturing and 10 percent in auto parts. Likewise, 50 percent of the companies in the Bajío zone have considerations of new projects for 2022, including an increase in the workforce during January-June of this year.

From January to August 2021, Guanajuato had a national share of 11 percent in auto parts production with 7.036 billion dollars.

Likewise, the automotive industry in Guanajuato maintains between 180,000 and 190,000 jobs.

Guanajuato’s Industrial Market

According to the latest report from Newmark, Guanajuato has strengthened its infrastructure and the quality of its workforce for the automotive, aerospace, warehousing, transportation and food industries.

Likewise, the industrial space availability rate continues to show a downward trend, from 5.3 percent in Q3 to 5 percent in Q4 2021.

Guanajuato closed 2021 with additions of warehouses in the market and some closings, thus having a Class A inventory of 8.1 million m2 by the fourth quarter of last year and an increase of 50,000 m2 under construction. In December we announced the purchase and sale of an industrial portfolio comprised of 14 buildings, as well as investments in industrial fiber in the state.

In Celaya, the investment of U.S. capital in the Libramiento Ferroviario (railroad beltway), which comprises 21 kilometers of track, was announced. Leon registered in 2021 the incorporation of new industrial buildings, where there were percentage increases in absorption values from the third to the fourth quarter of 14 percent.

Automotive Plants Consolidate in Guanajuato

Guanajuato is home to Toyota, Honda, Mazda, General Motors, Hino, Ford’s transmission plant, Oshkosh Equipment Manufacturing and Volkswagen’s engine plant. Other companies that have come to Guanajuato to consolidate with various expansions and investments include Kasai, Hirotec Mexico, Faurecia, Nivea, Pirelli, Michelin, Denso, ZKW, Macauto, BHTC, among others.

The average life span of automotive companies in the state of Guanajuato is seven or eight years, so most of them are young firms that adapt their processes through corporate decisions.

There are currently more than 130 companies of Japanese origin installed in the state, all of which arrived in the state in the last decade. Kasai represents the pioneering automotive suppliers of plastic injection in its style that settled in the region.

«These types of companies change the dynamics that exist in the region, diversify it by the type of products they offer and also because they promote local suppliers to be known at a global level through Tier 1 companies such as Kasai,» commented Alfredo Arzola.

Puerto Interior, Guanajuato’s Silicon Valley

So far, Guanajuato Puerto Interior (GPI), located in Silao, brings together more than 18 countries represented by more than 120 companies, mostly Japanese, making the state one of the most important for the automotive industry.

This is the only industrial park considered a dry port, as it has inland customs, a bonded warehouse, a campus to promote specialized education and training, industrial parks, and a plant for the production and distribution of automotive products.

This article originally appeared in Mexico Industry Reprinted with permission. Follow the link to keep reading: https://mexicoindustry.com/noticia/guanajuato-destaca–en-su-actividad-economica