Borderlands Mexico: Entrepreneurs, small business see value of investing in Mexico
Noi Mahoney
5 min read
“American entrepreneurs maintain a strong interest in Mexico’s nearshoring potential for 2025,” said Tatiana Skumatenko, branch manager for Wise PanAmerican Solutions. (Photo: Jim Allen/FreightWaves)
Borderlands is a weekly rundown of developments in the world of United States-Mexico cross-border trucking and trade. This week: Entrepreneurs, small business see value of investing in Mexico; Automotive supplier plans third plant in Mexico; Cargo vessel makes first call at Port Houston; and $31M worth of meth found hidden in hot peppers shipment.
Entrepreneurs, small business see value of investing in Mexico
Business owners continue to see Mexico as a positive place to invest in manufacturing opportunities, according to Tatiana Skumatenko, branch manager for Wise PanAmerican Solutions (WPS).
Austin, Texas-based WPS offers services aimed at assisting firms looking to expand or establish cross-border operations in Mexico.
“American entrepreneurs maintain a strong interest in Mexico’s nearshoring potential for 2025, carefully weighing the country’s strategic advantages against both ongoing challenges and emerging political uncertainties,” Skumatenko, who oversees WPS’ business development between the U.S. and Mexico, told FreightWaves.
Skumatenko recently attended the Austin Small Business Expo, an event bringing together entrepreneurs and small business owners from across the Lone Star State.
“During my recent participation at the Small Business Expo in Austin, I noticed that small business owners are interested in working with Mexico, especially in sourcing ingredients, raw materials, and products,” Skumatenko said.
“I think the general sentiment regarding nearshoring in Mexico remains optimistic, albeit with caution. While recent U.S. election outcomes, Trump’s threats to impose tariffs, and the upcoming review in 2026 of the United States-Mexico–Canada Agreement (USMCA) pose concerns, Mexico has faced challenges even before the elections, including water shortages, energy supply limitations, and infrastructure issues.”
U.S.-Mexico trade totaled $72.5 billion in September, an increase of 8% year over year compared to the same month last year, according to the latest data from the Census Bureau.
It was the ninth consecutive month and 19th of the past 20 months that Mexico has been No. 1 in trade with the U.S.
Canada ranked No. 2 for trade with the U.S. at $63.8 billion in September, while China was third at $54.3 billion.
Through the first eight months of the year, trade between the U.S. and Mexico totaled $632 billion. Trade with Canada totaled $632 billion, while China trade came to $437 billion.
The Port of Los Angeles overtook Laredo, Texas, as the No. 1 U.S. trade gateway in September among the nation’s 450 airports, seaports and border crossings, according to Census Bureau data analyzed by WorldCity.
The top three exports from Mexico to the U.S. through Laredo during the month were auto parts ($2.3 billion), computers ($1.9 billion) and passenger vehicles ($1.58 million).
Top imports from the U.S. to Mexico in September were auto parts ($1.1 billion), electric storage batteries ($449 million) and passenger ($317 million).
As of Nov. 21, outbound truck volumes out of Laredo are up significantly compared to the same periods in 2023 and 2022, according to the SONAR Outbound Tender Volume Index (OTVI.LRD).
SONAR’s Outbound Tender Volume Index for Laredo, Texas, (OTVI.LRD), shows 2024 trucking volumes (blue line) have been trending higher compared to the past two years. To learn more about SONAR, click here.
Skumatenko said the momentum that nearshoring has gained in 2024 is unlikely to drop dramatically next year.
“Those who recognize and value the benefits of Mexico as a nearshoring destination are willing to take on these risks and establish operations south of the border. Notably, the Mexican Association of Private Industrial Parks expects around 450 new companies to arrive in Mexico by 2025,” Skumatenko said.
Automotive supplier plans third plant in Mexico
Germany-based automotive supplier Mubea plans to open its third plant in the Mexican city of Ramos Arizpe.
The $60 million factory will create 200 direct jobs and produce components for automotive chassis for the North American market. The 2.2 million-square-feet facility is scheduled to open by the end of 2025.
“This new location represents an exciting expansion for Mubea and reinforces our commitment to innovation and excellence in automotive components,” James Sheehan, CEO of Mubea North America, said according to Pro Mexico Industry.
Mubea is a global producer of automotive components. The company employs more than 17,000 people at 54 locations in 18 countries.
Cargo vessel makes first call at Port Houston
The Saudi Arabia-flagged Bahri Diriyah, a multipurpose dry cargo vessel, recently arrived at Port Houston’s Turning Basin Terminal.
The ship traveled to Houston from Dammam, Saudi Arabia.
The 31,241-ton vessel can hold up to 1.3 million cubic feet of general cargo. Operating as a tramp vessel, the Bahri Diriyah will call Port Houston on an as-needed basis to offer cargo solutions for the trade community in Texas, Bahri officials said.
“Houston is one of our largest markets, and this milestone underscores our strong partnership with Port Houston,” Rajith Aykkara, vice president of Bahri Line, said in a news release.
Riyadh, Saudi Arabia-based Bahri is the national shipping carrier of Saudi Arabia. Bahri is the largest owner and operator of very large crude carriers (VLCCs) and chemical tankers in the world, according to its website. The carrier operates 40 VLCCs.
$31M worth of meth found hidden in hot peppers shipment
U.S. Customs and Border Protection (CBP) officers in South Texas recently intercepted $31.2 million worth of methamphetamine concealed in a shipment of serrano peppers arriving from Mexico.
The incident occurred Nov. 10 at the Pharr-Reynosa International Bridge in Pharr, Texas. CBP officers found 1,859 packages of alleged methamphetamine concealed in the shipment of peppers on a tractor-trailer.
CBP seized the drugs and the tractor-trailer. Homeland Security Investigations is investigating the case.
