Saltillo Manufacturing Investment Primer

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Slide 1

For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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1 STRATEGIC LOCATION For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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STATE OF COAHUILA Pacific Ocean CANADA MEXICO Located northeast of Mexico and bordering with the US SOUTH AMERICA STATE OF COAHUILA Atlantic Ocean UNITED STATES OF AMERICA Coahuila has become a competitive international investment destination For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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2 WORLD CLASS INFRASTRUCTURE & ACCESS TO GLOBAL MARKETS For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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3 STRONG ECONOMY SUPPORTED BY SKILLED AND QUALIFIED WORKFORCE For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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Coahuila, example nationally in economic development More than 2,000 export companies (Number of firms) Source: Mexican Business Information System. 2010. Online information:http://www.siem.gob.mx 1st Place nationally in  enterprises that export. For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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4 COMPETITIVE PRODUCTION COSTS For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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We have the highest industrial productivity in the country; each worker produces more than USD $20,000 per year… Ranks 1st place nationally on manufacturing industry’s productivity Stable relations between unions and companies Business-oriented labor culture to achieve competitiveness Productivity in Manufacturing Industry* 2010 (USD/Worker/year) *Note: Productivity is calculated as total output in the manufacturing industry, divided by the number of workers on the industry. Exchange Rate at $12.80 MXP/USD Source: SIREM, INEGI, Secretariat of Economic Development, Coahuila Institute of Employment. For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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10 WHO IS DOING BUSINESS IN COAHUILA? For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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Saltillo Northern Carboniferous Central Laguna South-East COAHUILA REGIONS For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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Main Industries 100% = 148,987 jobs Formal Employment, Dec. 2010 Per Capita Annual USD* $9,591 92,456 Economically Active Population (Workforce) GDP Main Companies 52% 26% 6% 15% Manufacturing Retail & Service Construction Others locates the most important automotive cluster of the country THE SOUTH EAST REGION SOUTH-EAST REGION Automotive Aerospace Metal-Mechanics Electric and Electronics Information Technologies Chrysler, GM, Freightliner John Deere Caterpillar Whirlpool Flextronics Economic contribution to the state 54.8% Economic contribution to the state *Note: Data 2010. Estimations SEFOMEC with information from the Index of Human Development 2010 and Banamex. Source: Permanent Employees Report. IMSS Coahuila. XII Population and housing Census. INEGI, Banamex, Secretariat of Economic Development For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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3,125 E&T Graduates Total Graduates 8,117 ACADEMIC Institutions, 2010 Technical Education Higher Education 42 28 Social & Administrative Education & Humanities Engineering & Technology Health Sciences 5% 32% 14% 38% 9% Natural & Exact Sciences 2% Agriculture Sciences 2010 Technical and Higher Education Distribution GRADUATES SOUTH-EAST REGION Source: Secretariat of Public Education of Coahuila (SE y CC) For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

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Arteaga General Cepeda Parras Ramos Arizpe Saltillo 84 36 21 5 23 6 35 10 64 160 73 QUALITY of Life Temples and Churches Hospitals and Clinical Recreation Centers Golf Courses Museums Theatres Cinemas Public Libraries Hotels Restaurants Banks Source: Secretariat of Economic Development SOUTH-EAST REGION For more Mexico business information, visit the presentations section of The Offshore Group website, www.offshoregroup.com

Summary: Saltillo, Coahuila's manufacturing base is one of Mexico's largest. In addition to being companies such as Navistar, Lennox International, Whirlpool, Polaris, Freightliner and Lay Z Boy, a large presence of the Big 3 automakers has earned Saltillo the nickname of "Little Detroit." In the City of Saltillo, The Offshore Group's Manufacturas Zapalinamé operates the La Angostura Industrial Park. http://www.offshoregroup.com/category/mexico-outsourcing-presentations/

Tags: manufacturing in saltillo investment manufacturas zapalinamé la angostura industrial park

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