Background on Morelos and the Nissan Plant Closure
Morelos, a Mexican state, is proactively diversifying its economy in anticipation of Nissan’s confirmed plant closure by the fiscal year 2025. The state aims to strengthen its local economy through five key sectors: tourism, agroindustry, logistics, technology industry, and audiovisual production.
Víctor Sánchez Trujillo, the Secretary of Economic Development and Labor in Morelos, clarified to El Economista that Nissan’s production remains unaffected and they are even paying overtime for the 2026 model year. However, Nissan has yet to provide a clear plan for their gradual reduction in operations.
Economic Challenges and Morelos’ Response
Sánchez Trujillo outlined that the current economic climate is challenging due to global factors such as altered trade dynamics with the United States, upcoming T-MEC revisions, and China’s complex role in international commerce. These conditions have led to difficulties for numerous businesses, necessitating restructuring, reinversion, and even closures.
In response, Morelos’ administration has initiated foundational work for five investment pillars during its first year. These include infrastructure projects like the Tierra y Libertad road circuit, the restoration of the water basin crucial for water-dependent investments, and the revitalization of Cuernavaca’s airport.
Additionally, the state has closely engaged with investors through the launch of the Investment Council, which has already attracted 2,000 million pesos in investments from eight companies, promising significant job creation in the coming months.
Economic Diversification Efforts
Morelos seeks to establish itself as a cultural and tourism hub while revitalizing the local economy. To achieve this, the state plans to host a series of events and activities throughout the final months of the year under the Xochicalco, Tierra de Encuentros banner.
- Festival of Christmas Eve, targeting the sale of 6 million plants produced locally
- Gastronomic Tourism Corridor along Calle Hidalgo
- Mezcal and Cheese Festival featuring over 100 exhibitors
- Cinematographic Encounter Morelos, aiming to link local talent with global platforms and position the state as an audiovisual reference by 2026
- Cultural events such as Circuito Cervantino, Festival Miquixtli, Foro Mundial de la Gastronomía Mexicana, and Luces y Raíces at Tequesquitengo lake
Key Questions and Answers
- What is the reason behind Morelos’ economic diversification efforts? Morelos aims to strengthen its local economy amidst Nissan’s confirmed plant closure and global economic challenges.
- Which sectors does Morelos plan to focus on for economic diversification? The state intends to prioritize tourism, agroindustry, logistics, technology industry, and audiovisual production.
- What infrastructure projects has Morelos initiated as part of its economic diversification strategy? Morelos has launched projects such as the Tierra y Libertad road circuit, water basin restoration, and Cuernavaca airport revitalization.
- How is Morelos attracting investments to support its economic diversification? The state has engaged closely with investors through the Investment Council, which has already secured 2,000 million pesos in investments from eight companies.
- What cultural and tourism events does Morelos plan to host in support of its economic diversification? Morelos will organize events like the Festival of Christmas Eve, Gastronomic Tourism Corridor, Mezcal and Cheese Festival, Cinematographic Encounter Morelos, and various cultural events.
