Background on Nuevo León and its Relevance
Nuevo León, a state in northeastern Mexico, is an essential player in the country’s manufacturing and export sector. Home to major industrial hubs like Monterrey, it boasts a diverse economy with significant contributions from manufacturing, construction, and services. The region’s strategic location, robust infrastructure, and skilled workforce have made it a magnet for both domestic and foreign investment.
Impact of Tariffs on Employment
The implementation of tariffs by the United States has negatively affected employment in Mexican states with high export values, such as Chihuahua, Coahuila, Baja California, Tamaulipas, and Sonora. These states experienced a decline in formal employment during March 2025, according to an analysis by Coparmex using data from the Mexican Social Security Institute (IMSS).
Annual Employment Growth in Affected States
- Chihuahua: -0.7%
- Coahuila: -0.4%
- Baja California: -2.4%
- Tamaulipas: -0.4%
- Sonora: -2.4%
National Employment Growth Trends
Nationally, the formal employment growth rate stood at 0.8% in March and 0.2% in April, with a total of 22,417,668 workers registered with the IMSS.
Monthly Employment Trends in Nuevo León
Although the annual growth rate in March surpassed the national average by 3.5%, Nuevo León’s monthly growth rate was only 0.1% for formal employment.
Coparmex Nuevo León’s Perspective
Cecilia Carrillo López, the General Director of Coparmex Nuevo León, attributes the reduction in labor positions to the enforcement of tariffs by the United States. She also highlights the global and local climate of uncertainty that fails to stimulate investment or productive activity.
Factors Contributing to Nuevo León’s Resilience
- Diversified Manufacturing Sector: Nuevo León’s manufacturing sector is diverse, with highly export-oriented industries that comply with T-MEC regulations and are not subject to tariffs.
- Construction Sector Dynamism: The state’s construction sector, particularly public works like the Line 6 Metro expansion in Monterrey, contributes to employment growth.
Key Questions and Answers
- What are tariffs and how do they affect Mexican employment? Tariffs are taxes imposed on imported goods by the United States. These tariffs have negatively impacted employment in Mexican states with high export values, causing job losses in sectors like manufacturing and construction.
- Which states have experienced employment declines due to tariffs? Chihuahua, Coahuila, Baja California, Tamaulipas, and Sonora have all reported declines in formal employment during March 2025.
- How has Nuevo León managed to maintain employment growth despite tariffs? Nuevo León’s diverse manufacturing sector, compliance with T-MEC regulations, and a dynamic construction industry have helped the state resist tariff-induced employment declines.
- What role does uncertainty play in the current economic climate? Global and local uncertainty has led to a lack of investment and reduced productive activity, further complicating the employment situation.
