Overview of the Manufacturing Sector in Nuevo León
According to the Manufacturing Expectations Survey conducted by the Industrial Transformation Chamber of Nuevo León (Caintra), most indicators in the region’s manufacturing sector remained in contraction territory for the fifth consecutive month. This is due to unfavorable political and international conditions.
March Indicators
- Production: New orders, physical volume of production, and capacity utilization increased to 45.5, 46.5, and 48.1 points, respectively, but remained below the 50-point threshold indicating contraction.
- Trade: Export and import indicators also stayed in contraction territory but showed a slight improvement, with export indicators at 46.4 points and import indicators at 44.5 points.
- Inventories: Inventory levels increased for the second consecutive month, reaching the expansion zone at 51.5 points.
- Investments: The percentage of companies investing in machinery, equipment, or construction rose to 25%, up from 23% in the previous month. However, this represents a decrease of 9 percentage points compared to the same month last year.
Factors Affecting the Manufacturing Sector’s Performance
For the fourth consecutive month, the political climate has been identified as the primary factor affecting businesses, with 50.8% of respondents citing it as a challenge.
- International Adverse Environment: 39.3% of the companies surveyed mentioned an unfavorable international environment as a significant obstacle.
- Lack of Skilled Personnel: 29.5% of respondents highlighted the scarcity of skilled workers as another major hurdle.
Key Questions and Answers
- What is the overall trend in Nuevo León’s manufacturing sector? The manufacturing sector in Nuevo León continues to contract for the fifth consecutive month, despite a slight uptick in March.
- Which indicators showed improvement in March? Export and import indicators, as well as inventory levels, displayed slight improvements in March.
- What percentage of companies are investing in machinery, equipment, or construction? 25% of the companies surveyed reported investments in these areas, up from 23% in the previous month.
- What are the main challenges facing manufacturing companies in Nuevo León? The political climate, international adverse environment, and lack of skilled personnel are the primary challenges identified by companies in the region.
About Caintra
The Industrial Transformation Chamber of Nuevo León (Caintra) is a non-profit organization that represents the manufacturing sector in the region. It aims to promote industrial development, competitiveness, and sustainability through collaboration with the public and private sectors.
