A STRONG AND GROWING MARKET FOR U.S. EXPORTS
It can be in times of crisis that new opportunities arise. Companies will emerge stronger from the current economic downturn if they take steps now to pursue opportunities and new ways of doing business—and the Wisconsin Economic Development Corporation (WEDC) is here to help. To help Wisconsin companies make connections in Mexico, WEDC will be organizing a virtual Global Trade Venture from Feb. 22-26, 2021.
Although it may not be possible to travel safely right now due to the COVID-19 pandemic, international trade continues, and WEDC remains ready to assist Wisconsin companies in growing their exports. To adapt to the pandemic, WEDC has converted its Global Trade Ventures into a virtual format that consists of online meetings between Wisconsin companies and potential customers, distributors and other partners in international markets. After learning about your company and products, WEDC’s in-country trade representatives will bring potential partners and distributors to you. All participants need to do is show up ready to make their pitch and ask questions to determine if the potential partner is a good fit.
Although the pandemic has cut into the economic growth that had been predicted for Mexico in 2020, Mexico is still a major player: the second-largest economy in Latin America and the 15th largest in the world. A large, diversified economy with deep trade and investment relations with the U.S., it is also the second-largest export market for U.S.-produced goods ($256 billion in 2019), as well as for Wisconsin exports ($3.3 billion in 2019). Wisconsin exports to Mexico have more than doubled over the last 10 years, and they now account for about 15% of all Wisconsin exports. Mexico’s purchases from Wisconsin exceed Wisconsin’s exports to China, Germany and the UK combined. Mexico continues to experience stable economic growth, and the recent U.S.-Mexico-Canada trade agreement has opened new opportunities in Mexico for U.S. companies.
As a large, trade-dependent economy with close geographic proximity to the U.S., Mexico is an ideal market for new-to-export companies as well as those seeking to further expand their business/distribution networks in country. Mexico should be a key component of an export growth strategy for Wisconsin companies of all kinds. In Mexico, Wisconsin companies will find a receptive market with many potential buyers for their products and services—especially if they offer innovations that solve problems for companies in their respective sectors. By taking part in this virtual trade venture, companies can tap the existing demand for their products to forge new relationships that lead to growing export sales with new customers and sectors.
MAKING BUSINESS CONNECTIONS VIRTUALLY
During the virtual trade venture to Mexico, participants will be scheduled for one-on-one meetings with potential partners in the market. These partners are chosen specifically for each participating company. Each participant in the Mexico trade venture will also receive a Mexico market assessment detailing considerations they should keep in mind when introducing their product or service into the market. WEDC has eyes and ears on the ground in Mexico, in the form of Wisconsin’s authorized trade representative—thus making it easier for Wisconsin companies to find local partners they can trust, taking some of the guesswork out of launching in a new market or growing exports within the market. With all your appointments arranged for you, you can focus on business rather than logistics and scheduling.
Particular strengths of Mexico’s diversified economy include high-tech industries, oil production, mineral exploitation, manufacturing and agriculture. Leading export categories from Wisconsin to Mexico include industrial machinery, electrical machinery, vehicles and parts, paper products, plastics, agricultural products, and medical and scientific instruments. With Mexico’s growing middle class, consumer products of all kinds are a major opportunity. U.S. products are already well represented (and thus well-known and trusted) in the market, and are perceived to be of good quality and a good value for the price.
Since Mexico is one of the top export markets for U.S. companies across all sectors, Wisconsin companies from a broad range of sectors are encouraged to attend this trade venture. Companies do not need to have prior export experience in order to benefit from this trade venture; however, companies that apply to attend should view exporting as an integral part of their overall corporate growth strategy.