It’s no secret that Mexico’s manufacturing industries are rapidly expanding, and one of the fastest developing sectors in particular is Mexico’s plastic industry. In 2016, the country was the tenth (10th) largest worldwide plastic producer and had a market value of over $33 billion, according to Mexico’s National Association of Plastics (ANIPAC). Production estimates are forecasted to reach 11 million tons per year by 2019.
The plastics and molds industries represent huge markets with increasingly growing potentials to affect other sectors including the automotive sector, industrial parts, aerospace industries, and electronics.
El Grande Group – your manufacturing partners in Mexico – want to help you develop the right tools, strategies, and manufacturing solutions to benefit from this developing industry. With our state-of-the-art industrial park, flexible programs designed to meet your specific manufacturing needs, and business support services, you can turn your manufacturing company into a leading global producer.
Mexican Plastic Industry Statistics
Mexico’s plastic industry has proven itself to be a lucrative market for U.S. suppliers. As noted on MoldMaking Technology, some of the most notable statistics include:
- Capital good investments exceeded $2.7 billion in 2016, monies that frequently went to upgrading production capacity inside plastic companies.
- Mexico is the 3rd largest global importer of capital goods for plastics and the 4th largest in machinery imports.
- The market value of the plastics industry in Mexico was greater than $26 billion in 2016.
- Mexico ranks 8th as the largest plastics consumer.
- Mexico imported $15.8 billion in U.S. plastics in 2015.
- Mexico was the largest destination for U.S. plastic and rubber equipment, industrial molds, tools, dies, and jigs.
- Mexico was the tenth (10th) largest worldwide plastic producer in 2016.
- U.S. firms have become the leading country of origin suppliers for plastic resins, high-quality molds, and machinery parts.
The Mexican plastics industry still has plenty of room for growth, and U.S. companies would benefit substantially from taking advantage of these opportunities. (Data collected from “export.gov)
Where American Suppliers Are Leading the Way
A growing demand for domestic production capacity has led to an increased dependence on imports. Because of this gap in services, many American companies have taken on the challenges – and reaped the financial rewards – of becoming the lead suppliers to Mexico’s plastics and molds industries.
The main sectors in Mexico’s plastics industry include the automotive industry, packaging, construction, and food and beverage. Alongside these major sectors, certain sub-sectors have also benefited from the imports of capital equipment from the U.S., including:
- Plastic Resins: For every kilo of consumed plastics in Mexico, only 200 grams was produced within the country. United States suppliers dominate this market with a 70% share. Plastic resin imports consist primarily of high-density polyethylene (HDPE), low-density polyethylene (LDPE), and polypropylene.
- Molds: Imports for molds of rubber or plastic that are used in injection and compression plastics have topped over $1 billion, with the U.S. claiming the largest share.
- Plastics manufacturing machinery and parts: U.S. companies are the top suppliers of high-quality machinery used for a variety of plastics applications.
U.S. companies interested in growing their plastics manufacturing company would do best to enter the market in regions with large productions or need of plastic parts including: Jalisco, Nuevo León, State of Mexico, Puebla, Querétaro, Guanajuato, Mexico City, and San Luis Potosi. The state of Guanajuato is quickly becoming a leader in plastics production.
El Grande’s industrial park is ideally located in the Bajio Corridor and offers quick and easy access to manufacturing production centers in Mexico. Well-recognized automotive manufacturers such as Honda, Audio, Volkswagen, GM, Nissan and many other tier one, two, and three suppliers can be found within the region.