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Mexico boasts one of the most robust manufacturing sectors in the world for fabricated metal products. With applications in numerous other industries, from automotive manufacturing to appliances and construction, fabricated metal manufacturing in Mexico is a multi-billion-dollar industry annually. In recent decades, the Latin American country has acquired significant levels of technological advancement and manufacturing knowledge to surpass other outsource destinations.

The data numbers show a country dedicated to profitable manufacturing and brimming with growth potential in the metal space. Labor is affordable, well trained, and highly productive – especially along the border. 

This niche has a solid economic foundation and a history of producing more than simple assembly operations, but sophisticated design and innovation in the field. Below is an overview of the current industry strength, capacity, and growth trends.

Strength of Fabricated Metal Manufacturing in Mexico 

  • Foreign Direct Investment in the metal fabrication sector for the first half of 2021 was $160 million USD.
  • Gross domestic product for the same period was about $220 billion USD.
  • Border states, Baja California, Sonora, Chihuahua, Nuevo León, Coahuila de Zaragoza, and Tamaulipas, account for over half of that total.
  • In 2019, total gross production in this industry was about $19 billion USD.
  • In the second quarter of 2021, fabricated metal manufacturing in Mexico employed a workforce approximately 820,000 strong.
  • There are nearly 75,000 companies operating in this space, 637 of which employ over 100 workers.
  • Each year, Mexico receives over 7,000 units of metalworking production equipment.
  • Some of the metal products manufactured in Mexico include wire, screws, nuts, rollers, forgings, castings, machined and galvanized parts, and more.
  • Fabricated metal manufacturing in Mexico feeds several key industries, including automotive, aerospace, medical devices, electronics, appliances, and other advanced industries.
  • So far this year, Mexico is responsible for approximately 75,000 economic units. 
  • Manufacturing accounts for 17.6% of total GDP in Mexico.


  • Metal fabrication is predominantly a male segment, with only about 13% of the workforce comprised by women.
  • The average metal fabricator is in his late 30s.
  • Workers in this field typically have on average 10 years of schooling. 
  • Approximately 48% of the workforce is informal.
  • Nearly half of the workforce has received advanced training.
  • Average annual salary in this industry is about $3,400 USD.

Regional Considerations

  • The primary producers of fabricated metal units are the states of Mexico, Jalisco, and Puebla.
  • Nuevo León brings in the highest revenue from metal fabrication in Mexico.
  •  The border states are home to the highest concentration of companies with access to financing and capital.
  • Primary sources for FDI include the US ($87.5 million USD), the Netherlands, and Japan.

Fabricated metal manufacturing in Mexico is as diverse as it is strong. The sector produces parts, equipment, and finished products for a wide array of applications. And because it is well connected to Mexico’s deep supply chain for raw materials and extensive trade network, Mexican-made metal products are highly profitable. 

This is even more true due to the high-value nature of modern Mexican manufacturing, which now includes increasingly sophisticated processes and innovation. Also contributing is the incredible technology transfer that has made Mexico a global metals hub. 

Mexico is now one of the top 10 sources of industrial production in the world. And with modern advancements and infrastructure investments, Mexico is poised to continue on this track for years to come. 

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