Swiss food giant Nestlé is set to pour $1 billion (CHF905 million) into Mexico over the next three years to ramp up production, as announced by the Mexican president and company leaders on Tuesday.
Mexican President Claudia Sheinbaum shared in a social media video, “They plan to invest $1 billion over the next three years to boost production in our country,” She was joined by representatives from Nestlé.
Fausto Costa, General Manager of Nestlé Mexico, added in the video,“This is a great chance to boost confidence in Mexico, its government and the vast opportunities the country offers to the world,”
President Sheinbaum mentioned that this investment aligns with ‘Plan Mexico,’ a government strategy aimed at reducing reliance on Chinese imports and boosting local production to strengthen both the Mexican and North American markets.
However, Mexico is facing a potential 25% tariff on its exports to the US, which President Donald Trump plans to implement starting February 1.
By 2023, a whopping 83% of Mexican exports, totaling over $490 billion, were headed to the USA.