Mexico’s rich mining industry is among the top leading prospect industry sectors for U.S. companies. This section provides a market overview and trade data.

Overview

Mexico’s mining sector represents a leading opportunity for U.S. exporters. In 2022, U.S. exports of minerals and ores to Mexico reached USD 2.28 billion, recuperating from a five-year decline. Although U.S. exports of minerals and ores to Mexico represent only 13 percent of mining exports, this industry has grown significantly in Mexico for several years and brings a wealth of opportunities to suppliers for machinery, tools, services, and technologies.

Mexico’s mining market value in 2022 was USD 3.3 billion. About half of Mexico’s mining production consists of the extraction of precious metals, with the remaining output composed of 40 percent non-ferrous, six percent metallurgy, and seven percent non-metallic ores. In 2022, production in mining reached USD 16.16 billion. Finally, Mexico is a large consumer of mineral fuels and in 2022 imported fuels were valued at USD 43 billion. About 66 percent of Mexico’s total mineral fuel imports originate in the United States.

Mexico is a large exporter of mining products, with a trade surplus of USD 12.8 billion in 2022. Mexican exports of minerals and ores to the world totaled USD 17.6 billion in the same year, growing six percent since 2017. Imports have grown over 13 percent annually since 2017. Forty-seven percent of Mexico’s imports of minerals and ores come from the United States, reaching USD 2.28 billion in 2022. The United States relies heavily on imported fluorspar, graphite, manganese, and strontium imports from Mexico and other countries.

Investment in Mexico’s mining industry is expected to slow down due to a 2023 reform to the mining law. The new mining reform tightens water extraction permits and reduces the maximum length of concessions from 50 to 30 years while allowing authorities to cancel concessions if mines are not operating within two years. President Andrés Manuel López Obrador has not granted any new mining concessions since assuming the presidency in 2018, although he has honored those awarded prior to his administration. The U.S. presence in Mexico’s mining industry includes thirty-two companies, led by Newmont and Coeur Mining, which have operations and significant investments in the country.

Table 1: Mexico Mining Production and Market Size 

(Figures in USD Billions) 

	2019	2020	2021	2022	*2023
Total Local Production	12.69	13.50	16.68	16.10	16.39
Total Exports	13.42	15.61	18.89	17.62	17.94
Total Imports	3.20	3.36	4.02	4.83	4.91
Imports from the U.S.	1.79	1.37	1.44	2.28	2.29
Total Market Size*	2.47	1.25	1.81	3.30	3.36
Exchange Rates	19.26	20.00	20.28	20.12	18.40

Total market size = (total local production + imports) – exports 
*2022 estimate of market growth of 2 percent, per IMF forecast 
Source: INEGI, OTEA

Leading Sub-Sectors

The following have been identified as the top sub-sectors in the mining industry with sales potential for U.S. minerals, machinery, tools, technology, and professional services:

Metallurgy

Grupo Mexico, Met-Mex Peñoles, and Fresnillo PLC are the three main mining producers in Mexico, accounting for 82 percent of market value. They are Mexico’s largest producers of metallic ores supplying the national steel industry in Mexico. Despite their strong supply capabilities, Mexico imported USD 1.88 billion worth of metal ores from the United States in 2022 (NAICS 2122).

Non-Metallic Ores

Mexico’s yearly imports of non-metallic mineral products including glass, clay, cement, lime, and gypsum from the United States exceeded USD 339 million, per the 2022 figures. This is the highest figure in 10 years (NAICS 2123).

Cement

The cement market in Mexico is made up of six major companies including, Cemex (46% market share), Holcim-Apasco (19%), Grupo Cementos Chihuahua (2%), Cementos Fortaleza (15%), Cemento Moctezuma (12%), and Cruz Azul (5%). Most of Mexico’s imports of this material comes directly from the foreign subsidiaries of these companies.

Opportunities

The U.S. Commercial Service in Mexico is ready to assist you in exploring opportunities in the mining sector.

Exploration

The new mining law in Mexico nationalized critical minerals and reserves and grants most new mineral exploration activities to the Mexican state. In 2023, exploration will still be a priority for the Government of Mexico (GOM) in the mining sector, and all new mining concessions are required to be granted pursuant to a public tendering process. The U.S. Geological Survey (USGS) will support Mexico by applying USGS methodologies to characterize rare earth element deposits on the Mexican side of the border.

Lithium Production

In April 2022, the GOM approved legislation to nationalize the country’s lithium reserves and created a state-owned lithium company called “Litio para Mexico” or LitioMx. LitioMx’s leadership is new to the mining sector and is seeking to partner with U.S. and Canadian companies to help develop Mexico’s resources.

However, it may take years to see a fully developed industry based solely on Mexican lithium. The USGS reports it has identified 1.7 million tons of lithium reserves, positioning Mexico 10th globally. However, the deposits are thought to be held in clay substrates that are not yet accessible with current technology. Nevertheless, U.S. technology could be the key to unlock the lithium believed to be in these deposits.

Capital Equipment

Mexico is the United States’ second-largest trade partner for construction and mining machinery after Canada. Total U.S. exports to Mexico of machinery for construction, mining, and agriculture totaled USD 3.4 billion in 2022. (NAICS 33313).

Technology

There are opportunities for 3D modeling and mining simulation software applications in new operations. Leading mining companies will implement new technologies to reach Industry 4.0 status. Automated preventive maintenance solutions, condition monitoring, and autonomous production are some examples of solutions needed at the mines. Repair

The best prospects in Mexico for selling replacement parts are specialized technicians and repair service companies with capacities to provide swift technical service and support. Dealers of replacement parts offering permanent inventory on consignment at mining locations are also preferred.

Environment

Mining activities in Mexico are required to comply with enhanced environmental and labor requirements. As a result, there are opportunities to supply environmental control products to the local mining industry.

Electrification

Mexico’s mining electrification is going to be one of the biggest technology shifts in the coming years. Progressive companies are moving away from diesel vehicles and investing in fully electric and hybrid electric vehicles to cut costs and pollution and are using new technologies more appealing to the younger consumer and workforce.

Barriers

United States suppliers to the mining industry face no commercial barriers to enter this market. However, Mexico has experienced an increase in criminal activity. This is occurring in areas with working mines and causes continuous interruptions in the supply chain while reducing the opportunities for new businesses and undermining the market’s investment attractiveness.

Resources

Mexico Mining Chamber (CAMIMEX) Association of Mining Engineers, Metallurgists, and Geologists of Mexico (AIMMGM) National Institute of Statistics and Geography (INEGI) Chihuahua Mining Cluster (CLUMIN) Zacatecas Mining Cluster (CLUSMIN) Sonora Mining Cluster (Cluster Minero Sonora)

Events

• XXXV Convención Internacional de Minería Mexico 2023. October 23-27, 2023, Mundo Imperial. Acapulco, Guerrero 
• For other events, please visit www.geomin.com.mx.

Contacts

For more information on the mining and minerals industries in Mexico, please contact:

Mario Vidaña
Commercial Specialist
U.S. Commercial Service —Monterrey
Tel.: +52 (81) 8047-3118
Mario.Vidana@trade.gov