Competitive advantages of
nearshoring
In North America, and particularly in Mexico, Luis de la Calle, a doctor in Economics, sees an opportunity that should be seized slowly and consistently, since it presents three competitive advantages:
1- Young demographic pyramidespecially in Mexico, where age distribution offers great opportunities to plan projects in the medium and long term.
two- The price of energy in the region is the most competitive in the world, unlike what happens in Asian and European countries, which allows the operation to be more profitable, explained the economist in Banorte’s North Economic podcast.
In America, natural gas costs $8 per million BTU, in Asia $14, and in Europe $26.
“A challenge for North America is to take advantage of the price of natural gas in the region; a television, a cell phone or a computer, are fundamentally derivatives of natural gas”, explained the economist.
3- They are also innovation ecosystemswhich flourish when there is a culture of creating, but require open thinking.
In Asia, political control creates a restriction on creativity for fear that any innovation will endanger the stability of the government, a situation that is not present in Mexico.
“The country could reach a maximum level of development from the agri-food industry —which already represents 25% of the United States market—, the medical industry, with pharmaceuticals, molecular biology, drug tests and even specialized machinery and tools of daily use, and also be part of the front that competes for the leadership of the automotive industry with the arrival of electric cars”, explained the economist.
The need for integration of the southern zone, especially with the eastern United States, highlighting four major challenges that need to be resolved to achieve this goal: logistics, energy, education and operating rules, which guarantee the rule of law for the benefit of the development of the region.
