Mexico is a free market economy in the circle of the trillion dollar class. Mexico’s GDP of USD 1.017 trillion in 2009 makes it the 12th largest economy in the world and the 2nd largest in Latin America. Its economy is expected to grow by 5% in 2010 according to Agustin Carstens, Governor of Mexico’s Central Bank and former Minister of Finance, after difficulties encountered at the end of 2009 due to the global financial crisis. Mexico is on the right track to economic recovery after the sharpest fall in over 70 years. Foreign Direct Investment is expected to reach USD 16.6 billion in 2010 and exports recovered at a rate of 16% in the last quarter of 2009.

Mexico has free trade agreements with 44 countries that represent over 70% of the world’s GDP or over 1 billion consumers. Mexico is part of NAFTA, the largest free trade zone in the world, and exports to the US have more than tripled since the signing of the treaty in 1994. Mexico in 2009 reported exports of USD 259 billion which makes it the 16th largest exporter in the world. Mexico keeps on working to strengthen its participation in the global economy.

Among other emerging economies, the country stands out with several competitive advantages that make it a unique destination for productive investments. Mexico ranks 8th in the global FDI attractiveness index according to the firm AT Kearney. It also ranks first as the most cost-competitive country to supply the US in the Manufacturing-Outsourcing Cost Index by Alix Partners 2009.

Mexico’s strategic geographical location, highly skilled human recourses, processes that comply with the highest international quality standards as well as government promotion policies and programmes for strategic sectors at a competitive cost have established Mexico as a world-class manufacturing hub.

Facts:
• One out of 10 cars sold in the US is produced in Mexico, over USD 43 billion worth of automobiles and auto parts exports in 2009.
• One out of every 4 televisions sold in the US is produced in Mexico and Mexico exported over 80 million mobile phones worldwide, over 57 billion of electric and electronic equipment exports in 2009.
• With more than 190 companies in the Aerospace sector, Mexico is the 6th largest supplier to the European Union and the 9th to the US.
• In 2009, Mexico exported over USD 138 billion in manufactured goods.

Malaysian companies that have taken advantage of investing in Mexico:
• Likom Technology has been operating in Mexico since 1998, mainly supplying the US.
• Dunham Bush has been manufacturing airconditioning equipment since 1999 in Monterrey, Mexico.
• Eagle Tractors invested USD 6.5 million in Monterrey in 2003.
One more advantage is the country’s infrastructure. Mexico is fully equipped to help Malaysian businesses expand to the Americas. Its transport system offers a remarkable competitive advantage at competitive cost giving you fast and easy access to North and South America. North and South America represent a market of over 900 million people. Mexican roads, railroads, airports and seaports provide logistics solutions for Malaysian companies, allowing them to take advantage of Mexico’s geographical location.

To keep up with the huge growth in Mexican foreign trade, President Felipe Calderon has put in place the National Infrastructure Programme 2007 – 2012, a very aggressive programme worth over USD 250 billion to improve Mexico’s logistics platform. The current administration has allowed Public-Private participation which has spurred more competitive and higher quality services.

Mexico is one of the top ten tourist destinations. Each year, over 21 million visitors enjoy the 7,000 kilometres of beaches, as well as the country’s colonial cities and archaeological sites. Currently there are important infrastructure projects like the new airport in the Riviera Maya worth over USD 250 million. The public tender is scheduled to come out on the 15th of April 2010.

In 2010, Mexico celebrates “200 Years of Independence and 100 Years of the Revolution”. This represents a historic moment for all Mexicans. A moment that calls for unity to excel through difficult times, a moment to learn more about our past but preparing for the future and a moment to show the world who we are. We invite you to share this tremendous economic growth with us, to work with us, and to create a mutually beneficial partnership. Tomorrow, you too will be able to confirm that we both speak the same language: Business

Visit website at www.visitmexico.com