Plan México: Catalyst for Investment Despite Challenges

While recent US-China trade tensions have eased, they have prompted businesses globally to rethink their supply chains, accelerating a shift toward more regional models. To capitalize on this trend, the Mexican government is promoting Plan México, a national strategy designed to attract investment by leveraging the country's key advantages beyond just its geographical position. The plan is not without challenges, however, as infrastructure and services needs must be addressed.

On June 10, 2025, the United States announced a deal with China, one of its main trade partners and one of the most impacted countries hit by US tariffs. The “tariff truce” resulted in US tariffs of 55% for Chinese goods and China applying a 10% tariff on US imports. In this context, companies are increasingly looking to nearshoring strategies to avoid disruption, with Mexico emerging as a key destination, particularly for businesses that can leverage its preferential trade conditions. With this in mind the federal government is pushing for Plan México, a strategy designed to attract investment by capitalizing on nearshoring opportunities and reducing the country's reliance on imports. The plan serves as a roadmap to boost national production and innovation, supported by measures such as dual-education programs, fiscal incentives, and targeted infrastructure development.

The strategy is implemented geographically through Well-Being Corridors, regional zones designed to attract investment aligned with local strengths, and Well-Being Poles, which are defined areas offering tax incentives to facilitate industrial growth. These initiatives are aimed at key sectors including automotive, aeronautics, and pharmaceuticals. 

To make this plan work, the government partnered with the private sector, as it seeks to build over 100 industrial parks by the end of President Claudia Sheinbaum’s administration. During a recent presidential morning press conference, Héctor Ibarzábal, Counselor, AMPIP, and CEO, FIBRA Prologis, noted that 13 new industrial parks had begun construction in Mexico since October 2024, representing an initial investment of US$626 million, with a projected investment of over US$5 billion for subsequent developments under the plan. "We are aligned with Plan México. We need to invest in infrastructure, and through Minister of Economy Marcelo Ebrard, we are holding permanent discussions to understand requirements for electricity, security, water, and road infrastructure. I must describe the dialogue we are having as being unlike any we have had before,” Ibarzábal noted.

To streamline investment, the government has launched a National Investment Digital Window, a centralized platform established by a Jan. 21, 2025 decree. This effort is complemented by the Shared Prosperity Investment Portfolio, which tracks over US$298 billion in private projects, which the government estimates represents over 16% of Mexico’s GDP. "This initiative seeks to engage the private sector, at home and abroad, to identify investment projects with the greatest impact on employment and the regional and national economy. Next, we identify what is necessary for those investments to succeed and to coordinate across all government departments and institutions to facilitate them," explained Ebrard.

The federal government also launched the “Made in Mexico” National Content Strategy, which seeks to strengthen domestic consumption and Mexico's brand globally, through a Made in Mexico distinctive. The initiative seeks to integrate local businesses into global value chains. For companies, obtaining the Made in Mexico seal provides tangible benefits, including registration in a national supplier catalogue, which will be the main source of consultation to provide products and services for new companies setting up factories in the country, as well as gaining access to Nacional Financiera (NAFIN) financing at preferential rates for MSMEs.

Challenges for Plan México, Nearshoring

Despite optimism around nearshoring, its long-term success faces critical challenges that could impact the goals of Plan México.

Leonardo Vieira, Founder and CEO, TRACTIAN MX, identifies one of these challenges as infrastructure strain. Rapid industrial growth is pushing Mexico’s energy, water, and transportation networks to their limits. In northern manufacturing zones, for instance, power limitations are already a concern, forcing companies to reconsider their operational strategies, Vieira notes. Without immediate investment, at least 5% of the country’s GDP, to address these problems, the cost-saving advantages of nearshoring could be eroded. “Many companies entering the market assume that the infrastructure will support their needs, but once they begin operations, they realize that is not always the case. In northern Mexico, energy supply has become a real concern. Some manufacturing zones are already experiencing power limitations, forcing companies to rethink their energy consumption and reliability strategies. If we do not address these bottlenecks now, the very cost savings that make nearshoring attractive could quickly disappear,” he stresses.

Plan México is already considering these challenges. The program outlines CFE’s 145 electricity transmission projects scheduled between 2025 and 2030. Sheinbaum also revealed plans to increase Mexico’s electricity generation capacity from 356TWh to 413TWh. The expansion will be driven by a mix of natural gas and renewable energy sources, with a strong emphasis on solar and wind power, supported by conventional backup technologies. 

The government has already presented the Plan for Strengthening and Expanding the National Electric System 2025-2030, which will involve an estimated investment of US$22.3 billion and add 22,674MW to the country’s power grid. The plan includes 51 electricity projects led by CFE, with private sector participation contributing 6,400MW, primarily from renewable sources. Natural gas, another key element in the energy transition and the development of proper infrastructure to support new investment, is also considered in the national project. Earlier in June, CENEGAS launched a new public consultation to determine the current and future demand for transporting and storing natural gas within the country. According to the center, this survey will serve as an instrument for strategic planning that will allow the government to assess infrastructure needs based on feedback from the main stakeholders within the gas industry.

These initiatives are expected to create substantial opportunities for energy and infrastructure investments while addressing key demands from the private sector, according to Francisco Cervantes, President, Business Coordinating Council (CCE). “This comprehensive plan directly responds to our needs, focusing on infrastructure and investment across public, private, and mixed sectors, including energy, water, and airports. It is a well-structured and thoughtful initiative,” he stated. The goal for both the government and the private sector is to materialize these goals.

Follow our MBS 2025 tag and don’t miss our coverage leading to Mexico Business Summit 2025 on October 28–29, 2025. On Tuesday, July 1st, 2025, we will delve into natural gas availability and its potential to become an investor attractor. 

Interested in staying ahead in the nearshoring landscape? Mexico Business Summit 2025 offers exclusive insights from leading industry experts and government officials on the key trends, risks, and opportunities fueling Mexico’s emergence as a global nearshoring powerhouse. Discover how supply chain innovations, workforce development, and sustainability strategies can strengthen your competitive edge.

Register now to secure your place and position your business at the forefront of this dynamic market: https://mexicobusiness.events/MBS/2025