State Grows Through National Enterprises

Q: How is Nuevo Leon supporting Mexican companies in the aerospace industry?

A: Unlike other states, the growth that Nuevo Leon is experiencing is thanks to the presence of national companies, rather than foreign ones. Almost 90 percent of the enterprises that participate in the aerospace cluster are funded by Mexican capital. This particular characteristic differentiates our operations from other states, where local companies are competing directly with global corporations.

The companies located in the state are expanding rapidly but their growth cannot be compared to that of global enterprises. The state needs to work with local corporations, to get them in shape to compete with any company in the world. The state government works closely with Nuevo Leon’s aerospace cluster, promoting its activities and business opportunities.

Q: What strategies are in place to promote the state’s aerospace sector?

A: The government made a mixture of federal and state funds available to companies. Although the amount has increased, the process for obtaining the funds can be complex for SMEs. As a state, we can support the development of this unique sector but the federal government needs to become more involved in promoting the industry, by adjusting regulations for example. The requirements for entering the industry can be overwhelming. The DGAC and the Ministry of Communications and Transport need to promote the BASA agreement and encourage business opportunities.

Unfortunately, Nuevo Leon has few foreign aerospace corporations, making it harder for us to attract new companies. However, we are working with other clusters, performing feasibility studies and working on the promotion of the state. Nuevo Leon is fifth in Mexico for number of companies and jobs generated in the aerospace sector but we have set more ambitious targets. To boost the state’s image among global aerospace industry players we made an appearance at the Farnborough International Air Show. Many new aerospace companies are interested in our country so our presence at global events provides the stage to put our state’s competitive advantages on display.

Q: Which areas should Nuevo Leon prioritize to strengthen the industry?

A: Training human capital is one of our priorities. Nuevo Leon provides the best possible education to its population. While the state works with technical schools and universities to make sure our human capital is practically trained, we need to find more working opportunities. Private companies play an important role in training employees. For example, when Monterrey Jet Center had difficulties finding specialized mechanics for their planes, they implemented an agreement with Alvaro Obregon Technical School to ensure the students there were being taught the skills needed to work in the aerospace industry. Textron performed a similar exercise with a training program targeting the development of national enterprises, for which it chose companies in Nuevo Leon, believing the state had the most potential.

Local companies must keep working to obtain certifications such as the AS 9000, and AS 9100. The cluster also needs to continue generating cohesive promotional efforts. With 14 manufacturing enterprises, seven MROs and five suppliers, it has managed to promote the industry as a whole.

Q: What are the next steps the government needs to take to support the industry’s consolidation?

A: In Nuevo Leon the aerospace industry has not even started to display the potential it could achieve. The government can help by standardizing and providing certifications to the aerospace industry, helping local enterprises get accreditations for the sector.

Attracting new enterprises also is a priority. Having an OEM in the state aids in this process and our MRO industry has succeeded due to national demand. The state lacks neither human capital nor infrastructure and anything the industry might need we can produce. Our work simply needs to focus on making it easier for entrepreneurs and businesses to invest in Nuevo Leon.