In a significant show of confidence in Mexico’s economic potential, global consumer goods leader Unilever announced investment in Mexico totaling 30 billion pesos—approximately USD 1.528 billion—between 2025 and 2028. The announcement was made during a presidential press conference, marking one of the most substantial foreign direct investment (FDI) commitments in recent years. This move comes amid growing uncertainty related to trade relations with the United States, making it especially noteworthy in the current economic climate.

Strengthening Regional Production and Supply Chains

According to Willem Uijen, Unilever’s Director of Supply Chain and Operations, the investment will focus heavily on the northern state of Nuevo León, where the company plans to increase manufacturing capacity, implement new production lines, develop logistics infrastructure, and accelerate the digitalization of its operations.

“Unilever announces investment in Mexico with pride and optimism, focusing on building one of our most advanced facilities in Latin America,” Uijen stated. “This long-term investment demonstrates our commitment to Mexico and the Latin American market.”

Salinas Victoria: The Heart of New Development

The centerpiece of this ambitious investment is a new state-of-the-art factory in Salinas, Victoria, a municipality within the Monterrey metropolitan area. Unilever will allocate 8 billion pesos (around USD 408 million) to construct and outfit this facility, which is expected to create over 1,200 direct and indirect jobs.

“This facility will focus on producing beauty and personal care items, including some of our flagship brands like Dove, Rexona, and Sedal,” Uijen explained. “The plant will be able to meet domestic demand and the needs of neighboring Latin American countries.”

By establishing this advanced manufacturing hub in Salinas, Victoria, Unilever aims to leverage Mexico’s strategic location and favorable trade agreements to improve regional supply chains and optimize delivery timelines. Unilever announces investment in Mexico to expand its footprint and bolster its efficiency across the Americas.

Supporting the Mexico Plan in a Time of Uncertainty

Marcelo Ebrard, Mexico’s Secretary of Economy, welcomed the announcement as a timely endorsement of the government’s “Mexico Plan,” which seeks to attract foreign investment, develop regional economies, and reduce import dependency. Ebrard emphasized that Unilever’s decision is especially significant during economic and political uncertainty.

“The fact that Unilever announces investment in Mexico in this context shows that our country remains an attractive and strategic destination for global capital,” Ebrard said. He added that while global investors remain cautious due to potential trade tensions and tariff disputes, particularly with the United States, Mexico demonstrates resilience and competitiveness.

Navigating Trade Tensions and the USMCA Advantage

The backdrop to this announcement includes concerns over potential tariff changes and regulatory uncertainty tied to the evolving trade relationship between Mexico and the United States. However, Mexico has managed to preserve tariff exemptions under the United States-Mexico-Canada Agreement (USMCA), giving it a competitive edge in attracting foreign capital.

This trade stability is a key factor behind why Unilever announces investment in Mexico now, betting on Mexico’s continued access to the North American market. With favorable trade conditions and a skilled labor force, Unilever sees Mexico as a launchpad for broader American operations.

Record Foreign Investment Despite Challenges

According to the Ministry of Economy, Mexico closed 2024 with a new record in foreign direct investment, reaching USD 36.872 billion—a 2.3% increase compared to 2023. While this upward trend underscores growing investor confidence, analysts warn that uncertainty over future U.S. tariffs could dampen the outlook for 2025.

Nonetheless, investments like Unilever’s counterbalance these concerns, injecting capital and optimism into the economy. Unilever announces investment in Mexico at a time when bold, future-focused projects are exactly what the country needs to maintain momentum in the global marketplace.

Focus on Innovation and Sustainability

Beyond job creation and infrastructure, Unilever’s investment strongly emphasizes sustainability and digital transformation. The company plans to implement cutting-edge technologies at its new facilities to reduce energy consumption, improve water efficiency, and minimize environmental impact.

“This factory will not only be one of the most advanced in output but also in sustainability and automation,” Uijen said. “Unilever announces investment in Mexico to align with global environmental responsibility and digital innovation standards.”

This strategy is aligned with Unilever’s broader corporate objectives of achieving net-zero emissions and supporting inclusive economic development across its operating regions.

Unilever’s Long-Term Vision for Latin America

Mexico is one of Unilever’s top five markets globally, and the company’s decision to expand its presence underscores its confidence in the region’s long-term growth prospects. The planned investment will allow Unilever to better serve the rising demand in Latin America, where middle-class growth and consumer spending have shown strong trends in recent years.

Centralizing production for domestic and export markets aims to enhance operational flexibility and reduce reliance on long-distance supply chains. Unilever’s investment in Mexico is part of a broader strategic initiative to regionalize production and mitigate global disruptions.

Conclusion: A Vote of Confidence in Mexico’s Future

As Mexico faces complex economic challenges and an unpredictable global landscape, Unilever’s decision to announce investment in Mexico sends a strong signal of stability and opportunity. The scale and scope of the investment, combined with its focus on innovation, job creation, and regional growth, offer a template for how multinational corporations can play a constructive role in shaping the country’s future.

The next three years will be crucial in executing these plans, but if successful, the initiative could catalyze further investments and economic revitalization across the region. With its strategic location, trade access, and expanding infrastructure, Mexico remains a compelling destination for global companies willing to bet on its potential.

Industrial parks in Chile play a vital role in forming the country’s overall economic structure. These zones offer compelling advantages to investors worldwide because they maintain modern infrastructure and strategic locations which make them key hubs for manufacturing and trade logistics. The robust economy of Chile along with its business-friendly regulations and sustainability commitments positions it as a prime location for industries targeting  Latin American and global markets.

Overview of Chile’s Industrial Park Ecosystem

Industrial parks in Chile concentrate business activities within strategically located zones to promote economic development. They deliver fundamental amenities including power supply, communication systems, water service, and waste handling as well as convenient transportation connections. Businesses located in industrial parks in Chile enjoy the advantages of joint infrastructure systems and the benefits of being near suppliers, service companies, and possible partners.

Through targeted incentives and investments in infrastructure combined with streamlined administrative processes the Chilean government actively promotes the development and expansion of industrial zones. These factors have made Chile an attractive hub for regional manufacturing operations and distribution networks. Industrial parks in Chile have become a key component of its national strategies which target regional decentralization and balanced development across different areas.

Prominent Industrial Parks in Chile

Zona Franca de Iquique (ZOFRI)

The Zona Franca de Iquique (ZOFRI) stands out as one of Chile’s main industrial parks. ZOFRI functions as an essential trade connection between Chile and its landlocked neighbors Bolivia, Peru, and Paraguay from its location in the northern port city of Iquique. The free trade zone provides major tax advantages by exempting companies from paying corporate income tax, VAT, and customs duties. The substantial cost savings from ZOFRI’s incentives make it an attractive choice for companies in warehousing, logistics, and light manufacturing sectors.

The ZOFRI zone encompasses 240 hectares and hosts over 1,600 businesses across diverse industries such as electronics, automotive manufacturing, textiles, and consumer goods. Through direct and indirect employment channels ZOFRI provides work for over 20,000 people which boosts local economic development and employment rates. The proximity to Iquique’s international port strengthens ZOFRI’s logistical benefits which streamline cross-continental import and export operations.

San Bernardo Industrial Park

San Bernardo Industrial Park functions as the primary logistics and manufacturing center positioned outside Santiago. The San Bernardo Industrial Park maintains seamless market connections through its proximity to Arturo Merino Benítez International Airport and major highway systems. Because of its strategic location and infrastructure San Bernardo Industrial Park excels at serving assembly, packaging, and distribution industries needing seamless supply chain and consumer access.

The park’s modern facilities combined with its strategic location create the perfect environment for businesses to minimize transit times and enhance operational productivity. The proximity to Santiago — Chile’s economic and political hub — provides opportunities to tap into its established urban labor force and comprehensive service network. Industrial parks in Chile including San Bernardo reflect the nation’s export-focused development strategy through their strategic design.

Coronel Industrial Park

The Coronel Industrial Park is located in the Biobío Region where it focuses on industries that leverage the area’s rich natural resources. It serves as a central point for businesses focused on forestry, timber, and paper production. The Biobío Region contains vast forested areas while Colonel’s industrial infrastructure enables value-added processes that include sawmilling, pulp production, and furniture manufacturing.

Coronel’s port access at Talcahuano enables efficient shipping of wood-based products to Asian markets as well as North American and European destinations. Local specialization triggers industry agglomeration that generates innovation while enabling cost-sharing and joint R&D efforts between companies. Specialized industrial parks in Chile enhance national competitiveness through support of growth and innovation within specific sectors.

Infrastructure and Connectivity

Chile maintains a well-established infrastructure network which serves as a crucial foundation for industrial activities. Key aspects include:

• Transportation: International trade depends heavily on Chile’s major ports including Valparaíso and San Antonio. The Port of San Antonio demonstrated a 32% rise in containerized cargo throughput during June 2021 over the previous year which shows Chile’s increasing role in the global supply chain network. The industrial zones benefit from extensive road and rail networks that provide connections to ports and cities while enhancing logistical efficiency and mobility.
• Energy: Chile stands out as a leading nation in solar and wind power among renewable energy sources. Industrial users benefit from a stable and sustainable energy supply that continues to become more cost-effective over time. Long-term dependence on renewable energy sources leads to substantial reductions in operational costs and greenhouse gas emissions.
• Telecommunications: The nation boasts a strong telecommunications network that supports dependable business communication and instant data transfer essential for logistics operations, e-commerce activities, and high-tech manufacturing.

Labor Market Strengths

Industrial investors find the Chilean labor market to be one of the country’s major strengths.

• Availability and Skills: Chile provides a workforce that combines expertise with education across its cities and industrial sectors. Professionals in Chile exhibit strong English proficiency which facilitates communication with international partners and clients.
• Cost and Productivity: Chile faces higher labor costs compared to some neighboring nations but this disadvantage is balanced by superior productivity and efficiency in major economic sectors including mining and forestry technology.
• Regulations: Chilean labor regulations require a 45-hour workweek spread over six days which includes a daily maximum of 10 working hours. Labor laws safeguard workers’ rights to establish and become members of unions without needing prior permission while only 10% of workers hold union memberships.
• Training Incentives: The government’s SENCE program provides tax incentives for businesses that fund employee training which enables companies to elevate workforce skills to meet technological and market developments.

Regulatory Environment and Business Incentives

Chile’s pro-business regulatory framework serves as an essential factor which increases the appeal of its industrial park developments.

• Tax Incentives: Free trade zones such as ZOFRI provide tax breaks and eliminate duties and VAT charges which lower both startup expenses and ongoing operational costs. Research and development (R&D) companies have the potential to obtain tax credits.
• Ease of Doing Business: Chile stands out in Latin America for its strong transparency and regulatory efficiency which helps with contract enforcement to establish a stable setting for long-term investments.
• Environmental Standards: Through strict environmental regulations the government boosts sustainability which helps Chilean exports gain global market competitiveness particularly within environmentally conscious markets.

Operational and Logistics Costs

Business operations within industrial parks in Chile require paying various expenses.

• Lease Costs: The pricing for industrial property leases shifts according to both the location of the park and its proximity to urban areas or ports. Companies need to negotiate lease costs directly with park administrators.
• Construction and Utilities: The construction expenses for new facilities depend on local labor costs along with material availability and regional energy requirements. Businesses that implement renewable energy solutions stand to experience reduced energy expenses over time and possible financial incentives.
• Logistics: The strategic Pacific Rim position of Chile combined with its high-capacity ports leads to reduced freight costs and faster shipping times to major markets such as Asia, North America, and Oceania. The efficient road network facilitates punctual delivery of goods to both domestic and international destinations.

Tenant Diversity and Industry Clusters

Industrial parks in Chile are home to a wide range of tenants including multinational companies alongside small and medium-sized businesses. The diverse tenant mix enables industry clusters to develop shared services and pooled resources while providing access to specialized suppliers and encouraging collaborative innovation.

The ZOFRI industrial park enables electronics, textile and automotive companies to enhance competitiveness through close proximity to their suppliers and service providers which results in reduced turnaround time.

Conclusion

Companies seeking to establish or grow their Latin American operations find complete and effective solutions through industrial parks in Chile. These zones enable businesses to thrive and innovate due to robust infrastructure alongside skilled workers supported by beneficial regulations and competitive incentives. Businesses searching for dependable supply chain alternatives will find Chile a leading location for industrial investment.

The province of Mendoza, located in western Argentina and internationally recognized for its wine and natural beauty, is taking a significant leap forward in promoting economic growth and foreign direct investment. With the official launch of “Invest in Mendoza,” the provincial government aims to centralize investment opportunities and connect them with national and international stakeholders.

A Centralized Investment Platform for Key Sectors

The “Invest in Mendoza” platform was unveiled with the participation of prominent provincial bodies, including the Subsecretariat of Energy and Mining, IMPULSA Mendoza (a public-private initiative to foster sustainable mining), EMESA (Mendoza’s state-owned energy company), and EPRE (the provincial electricity regulatory authority). This digital platform is a comprehensive gateway for investors to explore and engage with mining, energy, and hydrocarbon projects.

The website provides a curated portfolio of opportunities, ranging from advanced solar energy installations to mature oil field reinvestment and untapped mineral deposits. By offering up-to-date, systematized information about available projects and incentives, it aims to enhance visibility, transparency, and investor confidence.

Promoting Public-Private Collaboration

Mendoza’s government is actively promoting public-private investment models as a core strategy for economic development. These partnerships are designed to maximize the impact of strategic sectors on the province’s economic matrix. By aggregating relevant information on active and upcoming projects, Invest in Mendoza facilitates early engagement between stakeholders, shortening the timeline between opportunity identification and capital deployment.

Jimena Latorre, Mendoza’s Minister of Energy and Environment, emphasized the importance of creating an agile and transparent platform:

“We began to systematize all the information about the province of Mendoza in Argentina to present it clearly. As companies have product catalogs, we’ve created brochures and project profiles to guide investors through Mendoza’s potential.”

Investment Tools and Competitive Advantages

The tools and frameworks developed to encourage investment strengthen Mendoza’s value proposition. These include a well-trained and competitive workforce, a stable legal environment, and specific fiscal incentives. For example, the provincial government recently implemented a policy eliminating the Gross Income Tax for renewable energy projects, making Mendoza a standout option for green energy investments.

The Invest in Mendoza platform reflects these efforts by showcasing the full spectrum of institutional support, tax breaks, legal protections, and technical infrastructure available to investors.

“We organized this information along with the projects, many of which are in development, and others for which we seek investors,” Latorre said. “This coordination includes contributions from entities such as the Hydrocarbons Directorate, the Mining Directorate, EMESA, EPRE, and the FOPIATZAD trust fund, which supports high-voltage infrastructure in underserved regions.”

A Strategic Map for the Future

At its core, Invest in Mendoza is a portal of information and a roadmap to the province’s economic future. Latorre stated:

“It answers where we’re headed, what we want to strengthen, and how our energy and mining sectors support our productive goals. It visualizes Mendoza’s strategic trajectory and communicates it to the world.”

The strategic planning efforts support this holistic vision, ensuring that investments align with long-term development goals such as sustainability, diversification, and innovation.

Mendoza’s Strategic Sectors

The platform focuses on three key sectors with transformative potential:

Mining

Thanks to its vast reserves of strategic minerals, including lithium, copper, and potassium, Mendoza is poised to become a major player in the global energy transition. The province is actively working to modernize its mining regulations, offering legal certainty and transparent processes for exploration and exploitation. With clear environmental and operational guidelines, investing in Mendoza becomes an attractive proposition for companies involved in sustainable mining.

Energy

The province is rapidly expanding its capacity for both renewable and conventional energy. Mendoza’s geographic and climatic conditions favor solar and hydroelectric development, and the government is actively seeking partners for utility-scale projects. EMESA, the state-owned energy firm, is key in initiating and managing partnerships for solar park development and grid expansion. These projects are now featured on Invest in Mendoza, where potential investors can access technical data, required capital, and contact information.

Hydrocarbons

Located over the Cuyana and Neuquén basins, Mendoza has long contributed to Argentina’s hydrocarbon production. New investments are encouraged to rejuvenate mature oil fields, implement enhanced recovery technologies, and explore untapped reserves. The Invest in Mendoza platform outlines opportunities, highlighting existing infrastructure and logistical advantages, such as pipeline access and local refining capacity.

Legal and Fiscal Incentives for Investors

Mendoza has established a solid legal framework to back investment in these sectors. Key elements featured on the platform include:

• Large Investment Incentive Regime (LIGI): A program offering tax exemptions and other benefits for high-value projects.
• Mining Investment Law: Protects investor rights and offers fiscal stability for up to 30 years.
• Mining Procedure Code: Recently revised to simplify administrative processes and reduce barriers to entry.
• Import Regime for Large Projects: Facilitates the import of specialized equipment and technology for qualified ventures.

These regulations are designed to de-risk investment and promote long-term confidence among stakeholders.

A Direct Bridge to the Investment World

The ultimate goal of Invest in Mendoza is to establish a direct and efficient connection with the global investment community. The platform is operational and available in Spanish and English, catering to domestic and international audiences. It includes interactive maps, downloadable brochures, and a regularly updated project directory.

Users can easily search for investment opportunities by sector, project stage (e.g., conceptual, pre-feasibility, shovel-ready), or geographic area within the province. Each listing includes detailed project descriptions, technical specifications, financial requirements, and contact points within the corresponding government agency.

By demystifying the investment process and presenting opportunities clearly and accessible, Invest in Mendoza helps eliminate many uncertainties that typically slow down project development.

A Competitive Province with a Global Vision

Manuel Sánchez Bandini, Undersecretary of Energy and Mining, summarized Mendoza’s ambition:

“We are confident that we are competitive at national and international levels. This is already being demonstrated through our solar parks and regulatory framework. We want to continue attracting investment and showcasing our capacity for project management.”

Indeed, Mendoza has become a proactive governance model in Argentina, pursuing modern energy policies, sustainable development goals, and improved administrative coordination.

Conclusion

With the launch of Invest in Mendoza, the province solidifies its position as a proactive and investment-ready destination in Argentina. The platform is more than a digital directory—it manifests Mendoza’s economic vision and readiness to engage with global capital.

From rich mineral resources to a promising renewable energy landscape and well-regulated hydrocarbons sector, Mendoza offers many opportunities for businesses seeking long-term, high-impact investments. For those looking to partner with a dynamic region backed by political will and regulatory clarity, now is the time to invest in Mendoza.

Puerto Quetzal, one of Guatemala’s main economic hubs, is on the path to transformation, thanks to an ambitious expansion project led by the Guatemalan government in collaboration with the United States—an expression of their joint commitment to the economic development and regional security of the Central American nation.

The Puerto Quetzal expansion project, directed by the U.S. Army Corps of Engineers (USACE), aims to extend the port terminal by 800 meters, build four additional berths, bringing the total to eight, and modernize operational infrastructure to accommodate larger commercial vessels. These improvements will strengthen Guatemala’s commercial capacity and position the port as a regional logistics hub. Its location near the Panama Canal also gives it strategic value in global maritime transport.

“The U.S. is supporting the design and construction of 800 meters of dock divided into two equal sections, which will extend the existing facilities,” Vice Admiral José Antonio Lemus, President of the Quetzal Port Authority—the institution managing Puerto Quetzal, explained. “The Puerto Quetzal expansion will allow the port to handle larger cargo volumes and serve bigger ships, responding to the growing demands of international trade through Puerto Quetzal.”

Global Expertise

USACE has an outstanding track record in planning, constructing, and maintaining aquatic and land-based infrastructure projects. According to the Guatemalan News Agency, its involvement in the Puerto Quetzal expansion ensures a strong technical approach, including environmental, social, and feasibility assessments.

USACE has worked on numerous projects throughout Central America, including building drainage systems in communities in Honduras and El Salvador to mitigate flooding. In Honduras, for example, USACE implemented watershed management in 2020 following the impact of tropical storms Eta and Iota. In 2019, USACE personnel contributed to Guatemala by improving water infrastructure and building schools in rural areas such as Huehuetenango.

Beyond Central America, “its experience includes a technical agreement in Argentina focused on knowledge exchange and collaboration on waterways and ports,” reported the Argentine magazine Escenario Mundial. “This agreement lays the groundwork for closer cooperation between Argentina’s General Port Administration and the U.S. Army Corps of Engineers.”

Economic Turning Point

The modernization of Puerto Quetzal will mark a watershed moment in Guatemala’s commercial capabilities. Less than two weeks after U.S. Secretary of State Marco Rubio visited Guatemala, a USACE delegation visited from February 17 to 21 to conduct initial assessments of Puerto Quetzal’s capacity and discuss future cooperation to strengthen the country’s infrastructure.

When the final agreement is signed in May, Guatemalan officials will also submit three formal requests to USACE engineers. “The first is to expand the artificial dock by 800 meters; the second is to study another 400-meter extension, bringing the total to 1,200 meters for the artificial dock; and the third involves offshore development, where the water depth allows for more than 25 meters of draft a short distance from the shore,” said Vice Adm. Lemus.

The news portal LaHora reported that this Puerto Quetzal expansion will boost Guatemalan exports, reduce operating costs, and create jobs during the construction and operational phases, thereby improving local economic conditions.

“A large number of workers, both from the port authority and private companies, are residents of nearby communities,” added Vice Adm. Lemus. “On the other hand, the environmental impact of the Puerto Quetzal expansion is minimal, as it is located on open land not connected to local populations.”

Regional Benefits

The Puerto Quetzal expansion will enable the port to handle larger commercial ships, significantly increasing its operational capacity. “It will help reduce the wait times for ships wanting to enter the port. Some vessels currently wait over 20 days for an available berth to unload,” explained Vice Adm. Lemus. “Those 20 days drive up user costs. We estimate that waiting in line can sometimes cost up to USD 20,000 daily.”

Citizens will also see the benefits of the port’s improvement. “Puerto Quetzal contributes 20 percent of its annual profits to the federal government and allocates 15 percent to the regional municipality,” Vice Adm. Lemus revealed. “Moreover, the Puerto Quetzal expansion will bring strategic, economic, political, and social benefits to Guatemala and the wider region.”

“Even in military and naval matters, we could use these facilities for our partner nations. The ability to dock and resupply their vessels supports commercial activity and allows us to offer that capability as part of our contribution to regional security,” Vice Adm. Lemus concluded.

Conclusion

The Puerto Quetzal expansion marks a critical step toward redefining Guatemala’s regional and global trade role. By enhancing infrastructure and doubling the port’s operational capacity, the project paves the way for increased foreign investment, deeper commercial integration, and more competitive export capabilities. The involvement of USACE underscores a robust partnership between the United States and Guatemala, grounded in shared goals of economic resilience and regional security. With direct access to Pacific maritime routes and proximity to the Panama Canal, a modernized Puerto Quetzal can emerge as a premier logistics hub in Central America. This transformation will stimulate job creation and economic opportunities for nearby communities and reduce logistical costs for international shippers. As planning turns to execution, the port’s development symbolizes a broader commitment to sustainable infrastructure that aligns with Guatemala’s long-term vision for inclusive growth and regional cooperation.

Paraguay has quietly become one of South America’s most compelling investment destinations. With consistent 4% annual growth, a stable currency, and a favorable regulatory environment, this landlocked country steadily draws attention from international businesses. Aldo Benítez Cabrera, a seasoned lawyer and board member of the Chamber of Maquila Companies, recently offered a detailed analysis of the country’s economic development and the attractive investment opportunities in Paraguay.

A Strong Foundation for Growth

According to Benítez Cabrera, Paraguay has experienced a decade of uninterrupted growth, averaging 4% annually. Institutions such as the Getulio Vargas Foundation, the Inter-American Development Bank (IDB), and the Development Bank of Latin America (CAF) have all recognized Paraguay’s consistent performance, distinguishing it from more volatile economies in the region.

“A key differentiator for Paraguay has been policy continuity,” said Benítez Cabrera. “Regardless of which party is in power, the support for foreign investment has remained steadfast.” This consistency has contributed to a business climate where long-term planning and stable returns are possible.

Pro-Investment Policies and Legal Framework

Paraguay’s favorable investment climate is underpinned by robust legal tools that incentivize industrial development. Benítez Cabrera highlighted two primary mechanisms: Law 60/90, enacted in 1990, and the Maquila Law, which has been operational since 2000.

Law 60/90 offers tax exemptions for investors, including benefits on imports of capital goods and inputs, profits reinvested in the country, and even dividends distributed abroad. The Maquila Law provides a framework that allows companies to import raw materials tax-free, process them in Paraguay, and re-export the finished products. In return, these companies must generate jobs and increase the country’s export base.

These policies form the legal backbone that supports some of Paraguay’s most promising investment opportunities, especially in manufacturing and export-driven sectors.

A Hub for the Automotive Supply Chain

One of Paraguay’s standout industrial success stories is its emergence as a key player in the global automotive wiring industry. “We have six of Paraguay’s eight largest wire harness manufacturers installed,” Benítez Cabrera stated. “We produce wiring for Volkswagen, Hyundai, Kia, and Toyota vehicles and export to the world.”

This niche—but labor-intensive—segment of the automotive industry relies heavily on skilled manual labor. Although some aspects of cable production are automated, most of the process remains manual, generating thousands of jobs. Paraguay is home to over 15,000 workers in this sector, producing cables for vehicles ranging from Toyota Hilux pickups to double-cab Honda trucks, which are assembled in the U.S.

Even cutting-edge automakers like Tesla continue to use handmade wiring harnesses, demonstrating the durability of this sector as a leading investment opportunity in Paraguay.

Employment and Economic Ripple Effects

The maquiladora sector has become a major driver of Paraguay’s formal economy. With more than 30,000 direct jobs and $1.1 billion in exports, it makes a significant contribution to GDP and job creation. “We’re talking about 30,000 families,” Benítez Cabrera emphasized. “Add the indirect and induced jobs, and the ripple effect is tremendous.”

This impact extends into local communities, where wages from maquila jobs are spent on groceries, healthcare, clothing, and other everyday essentials, stimulating further economic activity. The money entering Paraguay through exports becomes “clean money” and is distributed throughout the economy, benefiting service providers and other businesses that may not be directly involved in manufacturing but still reap the benefits.

Such positive socioeconomic externalities underscore why the maquila model is among Paraguay’s most impactful investment opportunities for foreign firms looking to integrate local labor and production into global supply chains.

Stability That Inspires Confidence

Another often-overlooked advantage of doing business in Paraguay is the country’s stable national currency. “The guaraní is 80 years old. We’ve never removed a single zero,” said Benítez Cabrera. This long-term monetary stability contributes to investor confidence and economic predictability, starkly contrasting with neighboring countries like Argentina and Brazil, which have undergone repeated currency reforms due to hyperinflation

Currency consistency, combined with business-friendly regulations and government neutrality toward foreign investment, makes Paraguay stand out in a region where economic volatility is more the norm than the exception.

Leading Growth Sectors Beyond Manufacturing

While the maquila and automotive industries are among the most visible examples, Paraguay’s economic expansion extends beyond manufacturing. Key sectors experiencing robust growth include:

• Agribusiness: Paraguay is a global exporter of soybeans and beef, with vast fertile land and low production costs.
• Livestock: Meat production, especially beef, continues to expand in volume and international reach.
• Construction: Urban expansion and infrastructure development fuel demand for construction materials and labor.
• Light Industry: Beyond automotive parts, textiles, plastics, and food processing are gaining momentum.

These sectors represent diversified investment opportunities in Paraguay for international firms seeking to enter emerging markets with low overhead costs and high return potential.

A Personal Perspective from a Business Insider

With more than two decades of experience advising companies that have expanded into Paraguay, Benítez Cabrera views the country’s evolution as personal and professional. “I was in the right place at the right time when this new Paraguay was beginning to take shape—an industrialized Paraguay aiming to create new formal economic drivers to generate GDP and jobs that draw people out of the informality we were so used to.”

His insights reflect a profound transformation taking place in Paraguay. From a historically agrarian society to a dynamic, export-oriented economy, the country opens new chapters by deliberately cultivating its manufacturing base and enforcing policies that favor long-term, sustainable investment.

Why Investors Should Pay Attention

As global companies seek cost-effective, reliable, and stable environments to expand their operations, Paraguay stands out as a hidden gem in South America. The country’s political consistency, legal incentives, labor availability, and macroeconomic stability offer a compelling case for multinational firms.

Paraguay’s investment opportunities continue to expand in automotive components, agribusiness, light industry, and infrastructure. Paraguay presents an open door with tangible returns for investors seeking growth markets outside traditional hotspots.