Published on Thursday, May 18, 2023

Mexico | Manufacturing moderates in April amid lower external demand

The BBVA Multidimensional Manufacturing Indicator (BBVA MMI) grew 0.8% in April (YoY), the same figure registered in March, and 1.6 pp below the average reported in 1Q23.

Key points

  • Key points:
  • According to INEGI data, production in the automotive sector fell (-)2.5% MoM in March, while retail sales of vehicles and auto parts in the US registered zero growth in April in real terms, after two months of contractions.
  • In terms of capacity utilization, total manufacturing production is 5.4 pp above its pre-pandemic level (Jan-2020).
  • The level of capacity utilization recorded by the computing and communications equipment segment stands out, with a figure of 96.7%, the highest since the series was published, and potentially indicating higher future investment in this sector.
  • In this context, we believe that promoting an environment of certainty for investment would promote nearshoring, allowing Mexico to take advantage of its geographical proximity to US.

Documents to download



New comment

Be the first to add a comment.

Load more

You may also be interested in