manufacturing costs by mexican state
2026 comparison tool
select 2-3 locations to compare
Monterrey
Nuevo León
$6.80/hr
$7.00/m²/mo
$0.11/kWh
~1.1M
Automotive, appliances, steel, aerospace
Kia, Samsung, Caterpillar, Ternium
2.5 hrs to Laredo border crossing
12+
$117,640
Saltillo
Coahuila
$5.90/hr
$5.80/m²/mo
$0.10/kWh
~350K
Automotive (Stellantis, GM), auto parts, metalworking
Chrysler/Stellantis, General Motors, Magna
3 hrs to Laredo
8+
$102,070
Querétaro
Querétaro
$6.20/hr
$6.50/m²/mo
$0.11/kWh
~300K
Aerospace (#1 in Mexico), automotive, food processing
Bombardier, Safran, Airbus, Nestlé
4 hrs to Manzanillo (Pacific), 5 hrs to Veracruz
6+
$107,260
monthly labor cost estimate
adjust headcount to see estimated monthly labor cost per location (fully fringed, 173 hrs/month)
100 employees
Monterrey
$117,640
Saltillo
$102,070
Querétaro
$107,260
labor rates reflect fully fringed employer costs (IMSS, INFONAVIT, aguinaldo, vacation, statutory benefits) for entry-to-mid-level manufacturing operators, based on 2025-2026 benchmarks from Tetakawi, INEGI, and BLS data. industrial lease rates sourced from Cushman & Wakefield and Solili Q3 2025 market reports (USD/m²/month, Class A industrial). electricity rates reflect CFE GDMTH industrial tariff averages. workforce figures are estimates based on INEGI ENOE labor surveys. all figures are indicative and will vary by specific location, industry, and operating model. last updated april 2026.
understanding manufacturing costs across mexico
Mexico's manufacturing landscape is not monolithic. Labor rates, industrial lease costs, electricity pricing, and workforce depth vary significantly by state, and the right location depends on your sector, your supply chain, and your proximity requirements. A medical device company optimizing for regulatory infrastructure and U.S. border access will reach a different conclusion than an automotive OEM prioritizing labor cost and supplier density. This tool is designed to surface those differences clearly, using 2026 benchmark data across eight of Mexico's most active manufacturing corridors.
Fully fringed labor costs in Mexico range from approximately $5.40/hr in Aguascalientes to $7.40/hr in Mexico City, a spread that can translate to hundreds of thousands of dollars annually at scale. Industrial lease rates follow a similar pattern, with border cities like Tijuana commanding premium pricing due to their proximity to the U.S. market, while interior hubs like San Luis Potosi and Saltillo offer meaningfully lower real estate costs. For a deeper treatment of how these costs compare to alternatives in Asia and the U.S., see our contract manufacturing guide and our analysis of the cost of doing business in Mexico.
Location selection is only one variable. Entity structure, IMMEX certification, labor compliance, and supply chain logistics all shape the true cost of operating in Mexico. Our state-by-state manufacturing guide provides additional context on regulatory environments, sector clusters, and infrastructure quality. For companies evaluating workforce models, our hiring guide covers employer-of-record structures, profit sharing obligations, and the labor reform landscape.
The data above reflects 2026 benchmarks sourced from industrial park operators, federal labor surveys, and CFE tariff schedules. Actual costs will vary by facility type, contract terms, and negotiated rates. We update this tool periodically as new data becomes available.