Back

COMEXI-PCNS webinar series 2024: Nearshoring boom: lessons from Mexico and Morocco

May 30, 2024
Related topics: 

Nearshoring in Mexico

Nearshoring in Mexico presents both importance and challenges for businesses. The country's proximity to the United States, its largest trading partner, offers strategic advantages such as reduced transportation costs and shorter lead times, making it an attractive destination for nearshoring operations. Additionally, Mexico boasts a skilled labor force, particularly in industries like automotive, aerospace, and electronics manufacturing, which align well with the needs of many nearshoring companies. Moreover, Mexico benefits from trade agreements like the USMCA (United States-Mexico-Canada Agreement), providing preferential access to key markets. However, nearshoring in Mexico also faces challenges, including security concerns in certain regions, bureaucratic hurdles, and regulatory complexities that may impede the ease of doing business. Infrastructure constraints, such as inadequate transportation networks and energy supply, can increase operational costs and pose logistical challenges for companies. Addressing these challenges while leveraging Mexico's strategic advantages is crucial for maximizing the potential of nearshoring in the country.

Nearshoring in Morocco

Nearshoring in Morocco is significant due to its proximity to Europe. This stability, coupled with developed infrastructure and efficient logistics, facilitates seamless operations and reduces investor uncertainties. It offers advantages like reduced transportation costs and access to a skilled workforce, particularly in the engineering and IT sectors. Trade agreements and government investments in infrastructure support nearshoring activities, making Morocco attractive for European companies to optimize their supply chains. The country's political stability, developed infrastructure, and efficient logistics bolster its appeal to investors. Macro factors such as trade openness and stable exchange rates further enhance its attractiveness. Moreover, Morocco boasts solid legal frameworks that prioritize and protect business rights and economic incentives, ensuring a stable and predictable business environment. However, challenges persist, including skill mismatches, technology transfer, and SME upgrading. Addressing these, alongside pressing concerns like achieving carbon neutrality and digitalizing the economy, is essential for Morocco to fully leverage its potential as a competitive nearshoring hub and sustain its appeal to foreign investors.

Importance of the webinar

In this context, the exchange of experiences and lessons learned between Mexico and Morocco is instrumental in bolstering their nearshoring opportunities and overcoming challenges in this domain. By sharing insights into their respective nearshoring endeavors, both countries can leverage each other's strengths and address common obstacles more effectively. Through collaboration and knowledge sharing, COMEXI and PCNS can contribute to identifying innovative solutions, actionable strategies, and the maximal capitalization of trends in the global nearshoring landscape. This exchange can also result in ideas that foster mutual growth and competitiveness in the nearshoring sector, that help drive economic development and create new opportunities for both nations.

RELATED CONTENT

  • The UK after the Elections
    Francis Ghilès
    May 26, 2015
    This podcast is performed by Francis Ghilès. The general elections in the UK have resulted in conservatives making unexpected wins while the labor and other smaller parties, notwithstandi ...
  • Des émergents au défi du « retour de la géopolitique »
    TV Program, Policy Center for the New South
    May 22, 2015
    Cette deuxième émission de la série Ifri-Policy Center for the New South Roundtables sur "les défis de l'émergence et le retour de la géopolitique" porte sur les défis de l’émergence auxq ...
  • Géopolitique maritime du Maroc: défis sécuritaires et projection sous régionale
    Authors
    Rachid El Houdaigui
    May 22, 2015
    Le Maroc dispose d’un espace maritime stratégique grâce auquel il peut renforcer ses attributs de puissance. Cet atout géopolitique et économique doit être porté par une véritable ambition nationale maritime. Quels sont les défis sécuritaires à surmonter et quelles sont les opportunités qui s’offrent aux Maroc sur le plan géopolitique? Autant de questions qui interpellent pouvoirs publics et think thanks nationaux. A ce titre, OCP Policy Center organise un Colloque sur la façade at ...
  • Download PDF
    Règles budgétaires et soutenabilité des finances publiques
    Authors
    Pierre-Richard Agénor
    May 22, 2015
    Cet article examine la formulation, la mise en oeuvre, et la performance des règles budgétaires, avec un accent particulier sur l’expérience des pays en développement à moyen revenu. La première partie propose une définition et une justification des règles budgétaires, ainsi qu’une taxonomie de ces règles. La deuxième partie fournit un panorama des règles utilisées actuellement de par le monde. La troisième partie considère une série de questions liées à la mise en oeuvre des règles ...
  • Download PDF
    Economic integration in the time of turmoil
    Authors
    Uri Dadush
    May 18, 2015
    Economic integration is crucial in order to achieve rapid and sustainable growth. However, instabilities in the MENA region and the recent plunge in oil prices may stifle the economic progress in some of these countries, and threaten their attempts at integration. Within this context, this note seeks to analyze the efforts of integration that MENA countries have undertaken, particularly through trade agreements; and to articulate some principles that can help guide the ongoing searc ...
  • La baisse du prix du pétrole est-elle une bonne nouvelle pour le compte courant? Une analyse des termes de l’échange
    Authors
    Rim Berahab
    April 30, 2015
    Pour une économie ouverte, l’analyse des échanges internationaux recèle une importance capitale pour analyser ses perspectives de croissance. Bien des décisions individuelles portant sur la consommation, l’épargne et l’investissement sont, en effet, liées aux termes de l’échange. L’évolution de ces derniers, définis comme le rapport entre les prix à l’exportation et ceux à l’importation, est considérée comme un indicateur du pouvoir d’achat d’un pays et constitue une variable fort ...
  • Download PDF
    Transformational Leadership: Models for Policy Innovation from the Continents of the Atlantic Basin
    Authors
    Megan Doherty
    Kevin Cottrell
    Lora Berg
    Adnan Kifayat
    April 28, 2015
    Leadership must entail collaborative action with the ambition of generating political, social, or economic change at the most fundamental level. The case studies profiled here offer examples in which efforts to articulate a common vision led to transformational action. This style of transformational leadership — as opposed to those that rely on coercion or persuasion — offers leaders the greatest opportunity to find common ground despite cultural, geographical, and political differe ...
  • Successfully Transforming African Agribusiness through Private Equity Capital - Part II - What are the Key Success Factors in Private Equity Investing and how does that Apply to the African Context
    Authors
    Ezana Bocresion
    April 23, 2015
    We finished Part I - Solving the Capital Formation Issue with a question? How should institutional investors go about looking for the best partners to help them make successful investments in Africa; and fundamentally, the real question to ask is, what are the variables required for building successful investment platforms in Africa? Whenever one meets with an allocator from an institutional investor to discuss an allocation to an Africa strategy, the first question on their checkl ...