Aerospace Industry in Mexico - Growth, Trends, and Forecast (2020 - 2025)

Published on: Jan 2020 | From USD 3250 | Number Of Pages: 88 | Public Sector

Market Overview

The aerospace industry in Mexico is anticipated to grow at a CAGR of 6.38% during the forecast period.

- The Mexican aerospace industry is experiencing excellent growth with significant foreign investment and job creation. Between 2007 and 2017, the aerospace industry received USD 6 billion in accumulated direct foreign investment.
- According to Federaci—n Mexicana de la Industria Aerospacial or FEMIA, MexicoÕs aerospace sector grew from 100 manufacturing firms and organizations in 2004 to 350 by mid-2019. Of the total number of firms, more than 72% are manufacturing firms and about 11% of firms offer MRO services.
- Factors like new initiatives to integrate smaller local suppliers into the Mexican aerospace industry, as well as support from the government to support smaller firms and opportunities generated from trade agreements between the United States, Canada, and Mexico are estimated to further improve the contribution of the aerospace sector toward the Mexican economy.

Scope of the Report

The study covers all aspects of and provides insights about the aerospace industry in Mexico in the past and the present, along with the forecast for the future. The study also offers the company profiles of major aerospace companies operating or offering their products and services in Mexico.

Key Market Trends

Growth in Foreign Direct Investments (FDIs) in Mexico

FDIs have directly contributed to the growth of the aerospace industry in Mexico by permitting foreign companies to establish business units, thereby developing the total aviation infrastructure. In 2018, the aerospace industry witnessed a growth of more than 15% that can be attributed to the presence of important international aeronautical companies in the country. Aerospace companies originating in the United States, France, and Canada account for 96.1% of the total FDI received to date. According to Federaci—n Mexicana de la Industria Aerospacial (FEMIA), 46.8% FDI was from the United States and 36% was from Canada. In 2016, the Mexican government launched the National Supplier Defense program to integrate smaller local suppliers into the Mexican aerospace industry. In 2017, the total local production of the Mexican aerospace industry was USD 3.06 billion, which represented a 2% YoY growth. FDIs are envisioned to bolster the growth of the aviation industry in Mexico to contribute 0.7% to the countryÕs GDP by 2020.

Engineering and Design is Expected to Generate the Highest Demand During the Forecast Period

Engineering and design activities in Mexico have extended from the development of newer models in small unmanned aerial vehicles (UAVs) to light aircraft projects. Engineering and design activities have almost doubled over the past 5 years in the country, driven by investments from both governments and the foreign players who have built their research facilities in Mexico in recent years. Also, with the availability of a well-educated, skilled workforce in the country, many companies are expanding their R&D and component engineering centers. Mexico is currently focusing on boosting the R&D capabilities of aerospace firms in the country. Many companies have inaugurated their innovation centers in Mexico in the last 5 years. Examples of such companies include Honeywell, Safran, ITP Aero, and Indra Sistemas, among others. Such investments are expected to fuel the engineering and design capabilities of the country, thereby helping the growth of the segment during the forecast period.

Competitive Landscape

The aerospace industry in Mexico is highly fragmented due to the presence of several companies in Mexico. Currently, there are no OEMs of large aircraft based in Mexico, however, there are several companies that manufacture, engineer, and design aircraft parts and components for commercial, military, and general aviation. According to Federaci—n Mexicana de la Industria Aerospacial or FEMIA, MexicoÕs aerospace sector grew from 100 manufacturing firms and organizations in 2004 to 350 by mid-2019. Of the total number of firms, more than 72% are manufacturing firms and about 11% of firms offer MRO services. Baja California, Queretaro, Sonora, Nuevo Leon, and Chihuahua are the Mexican states that are known for manufacturing in the aerospace sector. Queretaro is home to many companies in Mexico, which includes Bombardier, Safran, Aernnova, Meggitt, ITR, GE, and Airbus among others. With the availability of a skilled workforce comprising mainly of engineers graduating from the local and nearby universities, the companies are planning to increase their investments into the country to enhance their design and engineering capabilities.

Reasons to Purchase this report:

- The market estimate (ME) sheet in Excel format
- Report customization as per the client's requirements
- 3 months of analyst support
1.1 Study Assumptions
1.2 Scope of the Study



4.1 Mexican Economy
4.2 Import and Export of Aerospace Parts and Components
4.3 Government Regulations and Subsidies
4.3.1 Foreign Direct Investment (FDI)
4.3.2 Free Trade Agreement (FTA)
4.3.3 Open Skies Agreement
4.4 Airport Infrastructure Investment
4.5 Aircraft Procurement Plans
4.6 SWOT Analysis

5.1 Industry
5.1.1 Manufacturing
5.1.2 Engineering and Design
5.1.3 Maintenance, Repair, and Overhaul


7.1 Airbus SE
7.2 The Boeing Company
7.3 Gulfstream Aerospace Corporation
7.4 Bombardier Inc.
7.5 Safran
7.7 Honeywell International Inc.
7.8 GKN Aerospace
7.9 United Technologies Corporation
7.10 GE Aviation
7.11 Eaton Corporation
7.12 Mexicana MRO Service


Secondary Research Information is collected from a number of publicly available as well as paid databases. Public sources involve publications by different associations and governments, annual reports and statements of companies, white papers and research publications by recognized industry experts and renowned academia etc. Paid data sources include third party authentic industry databases.


Once data collection is done through secondary research, primary interviews are conducted with different stakeholders across the value chain like manufacturers, distributors, ingredient/input suppliers, end customers and other key opinion leaders of the industry. Primary research is used both to validate the data points obtained from secondary research and to fill in the data gaps after secondary research.


The market engineering phase involves analyzing the data collected, market breakdown and forecasting. Macroeconomic indicators and bottom-up and top-down approaches are used to arrive at a complete set of data points that give way to valuable qualitative and quantitative insights. Each data point is verified by the process of data triangulation to validate the numbers and arrive at close estimates.


The market engineered data is verified and validated by a number of experts, both in-house and external.


After the data is curated by the mentioned highly sophisticated process, the analysts begin to write the report. Garnering insights from data and forecasts, insights are drawn to visualize the entire ecosystem in a single report.