Mexican States Compete for Film Industry Investments: Jalisco, Morelos, Baja California, and Durango Develop Incentives, Specialized Infrastructure, and Training Programs

Web Editor

August 18, 2025

a man is filming a group of people outside with a camera on a tripod and a camera on a tripod, David

Introduction

Mexican state governments, in collaboration with the federal Secretaría de Economía (SE), are working together to establish attractive ecosystems for the creative sector, which contributes 2.9% to the national GDP according to the Inter-American Development Bank (BID).

Netflix’s Investment Intensifies the Race

Netflix’s recent announcement of a $1,000 million investment in Mexican productions has heightened competition among states. The production company is currently deciding on projects and filming locations.

Jalisco’s Creative Ecosystem

Alfredo Aceves, head of Jalisco’s Creative Industries Development Agency, explained to El Economista that Guadalajara has a project linked to the creative industry, called Ciudad Creativa Digital. This complex of buildings functions as an ecosystem for developing talent and revitalizing the economy.

The project, advised by the Massachusetts Institute of Technology (MIT), includes two operational buildings and one under construction, housing companies specializing in animation and artificial intelligence. Aceves stated, “In Jalisco, we have created a model where public policies, academia, and industry converge, setting a reference for other states.”

Challenges and Solutions

One challenge is the lack of precise data on the creative sector, as many businesses are registered generically as ‘offices,’ making it difficult to measure their real impact.

To address this, Jalisco’s upcoming Creative Industries Law will include a comprehensive census to identify businesses from animation studios to unregistered artisans. Aceves emphasized, “We need to know how many we are, who we are, and under what conditions we work to design effective policies.”

International Policies Impacting the Industry

Sergio Fuentes, Director of Creative Industries at SE, mentioned that international policies, particularly cash and tax rebates, significantly affect the audiovisual industry. These rebates offer investment refunds in exchange for hiring local talent and services.

“Jalisco was the first to implement a cash rebate nationally,” Fuentes revealed. “We are working alongside Morelos to ensure it becomes the second nationally, as announced by the governor.”

Collaboration with Other States

Morelos, in collaboration with Jalisco, aims to become the second-leading state for film industry investments nationally. This partnership highlights the importance of interstate cooperation in attracting and developing the creative sector.

Key Questions and Answers

  • What is the creative sector’s contribution to Mexico’s GDP? The creative sector contributes 2.9% to Mexico’s national GDP, as reported by the Inter-American Development Bank (BID).
  • What is Ciudad Creativa Digital? Ciudad Creativa Digital is a complex of buildings in Guadalajara, Jalisco, designed to develop talent and revitalize the economy within the creative industry.
  • What challenges does the creative sector face in Mexico? One challenge is the lack of precise data on creative businesses, which makes it difficult to measure their real impact.
  • How are these challenges being addressed? Jalisco’s upcoming Creative Industries Law will include a comprehensive census to identify and understand the creative sector better.
  • What are cash and tax rebates in the film industry? Cash and tax rebates are policies offering investment refunds in exchange for hiring local talent and services, crucial for attracting film productions.
  • Which states are collaborating to develop the film industry? Jalisco and Morelos are working together to become leading states for film industry investments nationally.