The Evolution of Mexico’s Economic Focus
For decades, Mexico’s primary economic driver has been manufacturing. The North American Free Trade Agreement (NAFTA) was a significant milestone, integrating Mexican production into the value chain of North America and driving substantial growth in Mexico’s exports, which grew from less than $20 billion in 1980 to over $500 billion recently.
To position Mexico in a competitive global context, the “Made in Mexico” brand was created. This strategy promoted Mexico as a reliable center for low-cost, high-volume manufacturing, particularly in sectors like automotive, electronics, and textiles.
The Rise of “Made in” Brands
As other manufacturing nations developed their own “Made in” brands, the initial focus on differentiating quality gave way to price differentiation, especially concerning low labor costs. While the “Made in” movement boosted industrial production, it didn’t lead to widespread development in Mexico. “Made in Mexico” was a key driver of industrial growth, but insufficient investment in workforce development hindered Mexico’s ability to maintain a competitive edge in design, research, or innovative product and process development.
Mexico’s Creative Economy: A Historical Strength
The “Made in Mexico” brand still evokes images of automotive factories, textile workshops, and maquiladoras, though now spread across various “development poles.” However, this strategy is more about nostalgia for “better times” than the current global economic reality, which is knowledge-based, cultural, and innovative. It’s time for Mexico to transition from a production logic to one of creation and move from “Made in” to “Created in.”
To achieve this, Mexico should view the creative economy as a genuine development driver. Historically, Mexico has excelled in creativity: In the 1940s and 1950s, Mexican cinema productions reached global audiences, becoming the primary source of Spanish-language film entertainment. According to a Harvard Review of Latin America publication, Mexican films were the third-most important export product, and the film industry was the sixth most significant in the country. Television productions like telenovelas, “Siempre en Domingo,” and “El Chavo del Ocho,” reached audiences of hundreds of millions in Latin America during the 1970s and 1980s.
This creative leadership isn’t just nostalgia; a decade ago, Mexican directors like Iñarritu, Del Toro, Cuarón, and Lubezki dominated global film awards for several years. This was a pivotal moment for Mexico’s creative economy—one that was unfortunately left behind.
The Mexican Creative Economy: Beyond Film and Television
The creative economy encompasses industries like design, music, digital content, architecture, and fashion, representing a crucial source of employment and cultural identity, as well as a key driver of inclusive and sustainable development.
According to UNESCO, the creative sector accounts for more than 3% of the global GDP and nearly 50 million jobs worldwide. In Mexico, creative workers contribute over 7% to the national GDP, surpassing traditional industries like mining or oil. However, creative and cultural industries remain overlooked in economic agendas and development strategies.
Unlike manufacturing, which relies on scale, cost competition, and foreign investment, the creative economy thrives on cultural heritage and human talent. It doesn’t require massive infrastructure or extractive models but does need investment in education, digital connectivity, supportive legal frameworks, and fair labor conditions for creators.
Critically, the “Made in Mexico” narrative reduces value to physical production, ignoring the origin of ideas and the cultural context. It prioritizes quantity over originality and perpetuates a model where Mexico is merely an assembler for other countries’ innovations. A creative economy perspective challenges this by prioritizing authorship, recognition, and ownership over mere production.
Shifting Paradigms: From Manufacturing to Creativity
Generating economic value through creativity requires a paradigm shift: moving from a manufacturing-centered economy that assembles, replicates, or follows instructions to one that imagines, designs, and inspires. This necessitates redefining the national brand not just as a production hub but also as a cultural talent and vision reference.
Mexico already possesses the raw materials for this transition: rich traditions, a young demographic, and world-class creative talent. However, it needs to foster an ecosystem and political agenda where these assets are economic priorities and competitiveness factors, not just aesthetic or cultural values.
In today’s world, prosperity isn’t defined by what nations manufacture but by what they create. Mexico must dare to forge its path toward the future.
Key Questions and Answers
- What has been Mexico’s primary economic focus? For decades, Mexico’s main economic driver has been manufacturing.
- How did NAFTA impact Mexico’s economy? The North American Free Trade Agreement (NAFTA) integrated Mexican production into the value chain of North America, driving substantial growth in Mexico’s exports.
- What is the “Made in Mexico” brand? It’s a strategy to promote Mexico as a reliable center for low-cost, high-volume manufacturing.
- Why is it time for Mexico to shift from “Made in” to “Created in”? The global economy is now knowledge-based, cultural, and innovative. Mexico should transition from a production logic to one of creation.
- What is the creative economy? It encompasses industries like design, music, digital content, architecture, and fashion, representing a crucial source of employment, cultural identity, and development.
- Why is the creative economy important for Mexico? Creative workers contribute significantly to Mexico’s GDP, surpassing traditional industries like mining or oil.
- What are the key differences between manufacturing and the creative economy? The creative economy relies on cultural heritage and human talent, requiring investment in education, digital connectivity, legal frameworks, and fair labor conditions.
- What is the significance of shifting to a creative economy perspective? It prioritizes authorship, recognition, and ownership over mere production, challenging the “Made in Mexico” model that perpetuates a manufacturing-centered approach.
