Chihuahua boosts its economy with the automotive and aerospace industries

Chihuahua boosts its economy with the automotive and aerospace industries

Chihuahua consolidated its position in 2025 as Mexico's leading exporter, recording US$47.5 billion in exports (35.7% more than the previous year). This exceptional performance is largely due to the dynamism of its automotive and aerospace clusters, which act as twin engines of its economy.

For decades, Chihuahua has developed a robust manufacturing ecosystem: for example, in 1983, Ford Motor Company opened an engine plant in the capital that, almost 40 years later, has produced more than 13.4 million engines for vehicles worldwide.

Taking advantage of its strategic geographical position—bordering Texas and New Mexico—logistics infrastructure, and skilled workforce, the state has managed to attract dozens of global companies that fuel these clusters. The region offers key competitive advantages, such as highly qualified talent, strategic location, and solid infrastructure, which make it attractive for foreign investment.

The Chihuahua automotive cluster is one of the pillars of its economy. The state ranks fourth nationally in auto parts exports, with an annual average of over US$16.67 billion in exports in 2024. This industry generates approximately 165,175 formal jobs in the state, representing more than 18% of Chihuahua's formal workforce. Local plants manufacture a wide range of automotive components, from harnesses, seats, and radiators to sensors, steering wheels, engines, and electrical systems for vehicles of various brands.

World-class anchor companies have cemented Chihuahua's automotive value chain. The Ford engine plant in the capital, for example, is considered one of the corporation's most competitive globally. Almost four decades after its opening, this facility has assembled millions of high-tech Duratec and Power Stroke engines, which are exported to assembly plants in the United States, Europe, Africa, and South America.

Another notable case is Bombardier Recreational Products (BRP): the Canadian firm has made Mexico its global production center for recreational vehicles, with three plants in Ciudad Juárez where it manufactures Can-Am ATVs and side-by-side vehicles, as well as Sea-Doo watercraft. BRP currently employs more than 8,000 workers in Chihuahua and in November 2023 opened its third factory in Juárez, which for the first time assembles finished vehicles for global export.

Chihuahua is home to Mexico's largest aerospace cluster in terms of industry. The metropolitan area of Chihuahua City is considered the country's main aerospace corridor, accounting for 25% of the plants in the sector nationwide.

During 2024, Chihuahua consolidated its position as the main destination for Foreign Direct Investment (FDI) in the aerospace sector in Mexico, attracting US$95.3 million in aerospace equipment manufacturing projects, a figure that represented 28% of national FDI in this industry.

It has more than 46 certified suppliers, five of which are OEMs, generating more than 17,000 jobs as of October 2025. This ecosystem manufactures everything from high-precision machined parts and electrical systems to cabin interiors, harnesses, and turbines for commercial and defense aircraft. Chihuahua also serves as a strategic link in the North American aerospace supply chain, providing certainty and quality in the face of international trade challenges.

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