Introduction

Mexico’s aerospace industry continues to be an economic engine, gradually recovering from the challenges faced during the past two years. The global aerospace sector, however, still faces difficulties caused by the supply chain disruptions originated by the COVID-19 pandemic, which include semiconductor scarcity, shipping delays and higher costs of raw materials. Later, Russia’s invasion of Ukraine sharply increased the price of oil and its derivates, including jet fuel.

These circumstances are leading companies to search for ways to streamline their supply chains, while reducing costs and risks. Mexico, given its geographic position and talented workforce, offers a compelling alternative for companies interested in the Americas. The growing nearshoring trend poses a golden opportunity that could lead Mexico to be one of the key suppliers of the global aerospace sector. But to achieve this goal, the industry must work with academia and the public sector to build on Mexico’s strengths and attract investment and companies.

Meanwhile, the country’s aviation industry is soaring, for the most part. The country’s ultra-low-cost airlines, Viva Aerobus and Volaris, have surpassed their pre-pandemic numbers and have consistently broken records in traffic and operations. While Aeroméxico faced a complex two years after the pandemic led it to file for bankruptcy protection, the airline is making a comeback after successfully reorganizing its finances. However, Interjet has not managed to recover from the slump it faced in 2020, when it stopped flying. Overall, Mexico’s aviation industry is poised to take off both in domestic and international traffic, helped by the lift of COVID-19 travel restrictions.

This edition of Mexico Aviation & Aerospace Review explores the main opportunities and challenges the sectors face. With a focus on the sector’s latest trends, this year’s review will help stakeholders stay informed and adaptable in a dynamic and evolving market.