Investing in Construction Tech to Scale Amid Challenges

Q: What are the main operational constraints you often encounter when applying modular construction techniques at scale in Mexico? 

A: While we remain committed to modular and prefabricated construction, 2025 brought significant challenges. Industry-wide uncertainty caused by tariffs and energy supply constraints slowed overall project pipelines. Although we secured new projects, volumes have not matched prior years, requiring us to prioritize financial stability and ongoing operations over the pace of innovation projects like modular construction.

Additionally, we have faced a sharp rise in regulatory requirements, particularly in environmental, safety, and energy compliance. We have ensured 100% adherence, but this has demanded considerable time and resources.

Despite these challenges, innovation remains central to our strategy. I lead a new innovation commission within our board at Grupo ITTOB, our parent group, where we are developing initiatives designed to generate new business opportunities and strengthen margins.

Q: How is TREBOTTI adapting its investment strategy to ensure long-term growth given the cooling of Mexico’s industrial real estate market? 

A: As a design-build contractor fully focused on the private sector, we navigate volatility by diversifying across industries. We serve not only automotive but also general manufacturing, steel, mining, and food and beverage, which gives us resilience during sector-specific slowdowns.

In response to the current cooling of the industrial market, we have shifted business development toward sectors with sustained growth such as retail, logistics, and e-commerce, which are supported by rising domestic consumption.

Our most strategic move has been investing heavily in technology. We built an in-house software development team dedicated to automating operations, project management, and compliance processes. This allows us to remain agile, efficient, and scalable, key strengths for sustaining growth.

Q: How is TREBOTTI using technology and automation, particularly in relation to BIM and compliance, to enhance operational efficiency and regulatory alignment in your construction projects?

A: We are moving away from manual processes and subjective interpretations by building custom software for both administrative and operational tasks. This ensures standardization, efficiency, and clear compliance with increasingly stringent regulations.

Administratively, we are building systems that ensure 100% compliance with government regulations and streamline communication with institutions.  Operationally, we are automating repetitive tasks, enhancing project controls, and integrating these tools with BIM for predictive planning, cost control, and schedule reliability.

This digital transformation supports our entire ecosystem, employees, suppliers, and contractors, whom we consider partners, and positions us for scalable growth.

Q: How are recent tariff policies, particularly those impacting aluminum and steel, reshaping your cost structures, procurement strategies, and client pricing models? 

A: Thanks to our strong financial structure and disciplined processes, we have mitigated tariff impacts effectively. Most of our contracts are lump-sum design-build agreements, which demand strict cost control. 

Our procurement network combines national and imported steel, and long-standing supplier partnerships allow us to maintain competitiveness even in turbulent markets.

Q: What are your expectations for nearshoring in Mexico, and what is necessary to support this trend?

A: Nearshoring is more than a buzzword, it repositioned Mexico globally. Both private and public sectors capitalized on this momentum, and although current uncertainty has slowed activity, the trend will regain strength.

The primary challenge is infrastructure, particularly limited electricity availability. Addressing this would unlock even greater investment. The second is skilled labor. Overcoming this requires coordinated efforts among industry, government, and universities to elevate vocational training and reduce the stigma around technical careers.

Beyond foreign investment, domestic demand is also fueling growth. Rising purchasing power across all social strata is driving investments in food, paper, and services sectors, signaling a broader economic transformation beyond nearshoring alone.

Q: How do you assess the current oversupply in Mexico’s industrial real estate market, and what trends do you foresee in the short and medium term as nearshoring evolves and urban expansion continues?

A: There is currently an oversupply of industrial warehouses, as many developers built speculative inventory alongside build-to-suit projects. Availability in key markets is unusually high, but this is part of a normal cycle.

We see this phase as “Nearshoring 2.0,” where US dependence on Mexican manufacturing continues to deepen. Vacant warehouses will eventually be absorbed as urban land values rise, prompting operations to relocate and triggering new waves of development in surrounding regions. Over time, these areas will evolve into mixed-use spaces, blending industrial, residential, and services.

Q: How are you recalibrating your commercial and operational strategies to close 2025 on solid footing and enter 2026 with sustained momentum? 

A: Despite current headwinds, we are reinforcing our foundation through process certifications, talent development, and technology investments. All TREBOTTI companies are certified under ISO 9001 (quality), ISO 14001 (environment), ISO 45001 (safety) and hold LEED and EDGE sustainability credentials. By year-end, we plan to secure additional certifications to further strengthen our operational standards.

We have intensified training programs, with professionals pursuing formal certifications to ensure technical excellence across the group. On the operational side, we are investing in new tools to keep our teams competitive and at the forefront of construction innovation.

Above all, we remain optimistic about Mexico. Despite regulatory evolution, projects here can still advance faster than in many countries, giving us a unique competitive edge. Coupled with our demographic bonus and diversified strategy, we are well positioned for the next cycle of growth.

TREBOTTI is a Mexican industrial construction firm specializing in turnkey projects and industrial facilities, integrating BIM, value engineering, and sustainable solutions for global and domestic clients.