Mexico Strengthens Its Role as a Gateway for Italian Machinery in Latin America
Mexico has established itself as the most significant market for Italian industrial machinery in Latin America, driven by the restructuring of global supply chains and the country’s strong manufacturing base. According to estimates released by business organizations during the National “Made in Italy” Day, one out of every three Italian shipments to the region is destined for Mexico, and nearly four out of every ten Italian exports to the country consist of machinery and equipment. This flow is supporting the modernization of plants and technological integration in key sectors of the Mexican economy.
Italy’s ambassador to Mexico, Alessandro Modiano, emphasized that Mexico is the main destination for Italian exports on the continent, with the exception of the United States. In this context, the Export Action Plan—which followed the Mexico–Italy Business Forum—places Mexico among the priority partners for Italian economic diplomacy. The anticipated modernization of the Global Agreement between the European Union and Mexico, still awaiting formal approval, includes the elimination of tariffs on most trade in industrial and agricultural goods, which would open up a new chapter for bilateral trade and investment.
The INGENIUM report, prepared by Centro Studi Confindustria and the Fondazione Manlio Masi, identifies Mexico as the top Latin American destination for ACT (Automation, Creativity, and Technology) machinery, which encompasses high-precision solutions, advanced design, and digital integration. The local manufacturing base—automotive, aerospace, food and beverage, plastics, and pharmaceuticals—combined with its proximity to the North American market, has made the country a natural recipient of Italian technology. Italy, the world’s sixth-largest manufacturing exporter and a leader in automation, custom solutions, and the industrial Internet of Things, finds a compatible partner for its value offering in Mexico.
Between 2018 and 2023, Italian machinery exports to Latin America grew at an average rate higher than in other markets, with Mexico absorbing a significant share of those shipments. To strengthen cooperation, the study proposes three lines of action: promoting joint investments that enhance production capacity and innovation; leveraging the modernized trade agreement between the European Union and Mexico to deepen trade ties; and accelerating technology transfer and training in artificial intelligence, advanced manufacturing, and sustainability.
The domestic environment supports this trend. Mexico has positioned itself as one of the United States’ top trading partners and has attracted new investments tied to nearshoring, especially in the industrial corridors of the North and the Bajío region. The automotive sector’s shift toward electric vehicles and increased demand for efficiency in food and beverage, pharmaceuticals, and plastics are driving the renewal of machinery and processes. Logistics initiatives such as the Interoceanic Corridor of the Isthmus of Tehuantepec aim to improve connectivity capacity, while customs modernization and border infrastructure are critical to speeding up trade flows.
Nonetheless, structural challenges remain that affect the depth of this integration: the availability of reliable and competitive energy, the capacity of the electricity grid, water management in industrial regions, and the need to accelerate the development of technical human capital. The regulatory environment and certainty for new investments will also be key factors, as will the T-MEC review scheduled for 2026 and progress on updating the EU–Mexico agreement. The strengthening of the peso at various points has made it cheaper to import capital goods, although high interest rates in recent years have made financing more expensive; a more favorable monetary cycle could spur additional equipment purchases.
Looking ahead, the complementarity between Italian technology and Mexico’s manufacturing base points to a virtuous cycle: more automation and digitalization boost productivity and technological content, and facilitate integration into regional and global value chains. To fully realize this potential, public-private coordination in infrastructure, training, and regulatory certainty will be as important as the availability of cutting-edge machinery.
In summary, Mexico is consolidating its role as the region’s industrial hub and as a strategic destination for Italian machinery. Greater trade openness, the drive of nearshoring, and productive modernization create fertile ground—though making it a reality will depend on solving bottlenecks in energy, water, logistics, and talent. For now, the outlook points to a bilateral relationship with room for growth and positive impacts on productivity and investment.
