Mexico to Play a Role in the Aerospace Supply Chain of Tomorrow
Global supply chains, already facing disruptions due to the COVID-19 pandemic, are facing a new wave of shocks due to the Russia-Ukraine war. The disruptions are affecting a wide range of manufacturing industries including aerospace, which could face issues sourcing metals. These circumstances could burden Mexico’s aerospace industry but could also represent new opportunities as the country has been working for years to increase its supplier base.
Supply chain disruptions and capacity constraints directly affect global demand. Aerospace OEMs are now worried about sourcing basic manufacturing elements such as titanium, of which Russia is a major producer. Material scarcity could further delay the industry’s recovery. Moreover, the increase in oil and gas prices following the start of the conflict could also pose challenges across industries, as will the growing volatility, as reported by MBN.
The numerous challenges hounding global supply chains could bring opportunities for nearshoring and for Mexico’s manufacturing industries, which are trying to recover from the lows of the pandemic. “Supply chain development is a major challenge for the industry. It was an issue that only worsened with the pandemic because many players either disappeared or lowered their production volumes to the minimum, leading purchasers to look at other sectors, such as automotive, for supplies,” Carlos Robles, Vice President, FEMIA, told MBN.
Several areas in Mexico are attractive destinations for aerospace manufacturing. For example, Baja California, has a large spectrum of manufacturers and service providers, including entrepreneurs with an exceptional global vision, according to Tomás Sibaja, Executive President of the Aerospace Cluster of Baja California. The region has also strived to develop its own technology to add value and encourage innovation.
Supply Chain Management, its disruption and other megatrends will be discussed in Mexico Aerospace Forum 2022, an online event that will take place on April 27-29 hosted by Mexico Business. Mexico Aerospace Forum 2022 will bring to the table industry leaders and decision makers from numerous sectors of the aviation and aerospace industries. To buy a ticket, click on the banner!
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