Top Industries in Rio South Texas

November 10, 2021

Rio South Texas to Exceed Investor Manufacturing and Distributions Expectations

by Faith Chua

   Rio South Texas is a region with dual-national properties facilitated by the USMCA, which allows enterprises to benefit from both the U.S and Mexico. The large and eager workforce in the area has easy access to various training and development classes. The region is rich in resources and potential for any investor looking into expanding their business.  There are, however, four specific industries that thrive in the area. The four primary industries are the automotive, biomedical, energy, and aerospace industries.  

   The Rio South Texas region is one of North America's most significant assets in promoting automotive growth. The automotive industry primarily benefits from the established distribution to the 30 automotive OEMs and 1,000 tier suppliers on either side of the Rio Grande River. The region combines lower costs that do not compromise on the quality or speed of delivery. In 2020, the region's efforts were recognized through the General Motors Supplier Quality Excellence Award, which was awarded to the Tamaulipas automotive plants. The award celebrates the region's outstanding supply times with zero defects on any manufactured parts.

   The biomedical industry flourishes on the Texas side of Rio South Texas, and Mexico is quickly moving forward with its innovations. Combined, the region has created a regional talent pipeline that aligns with biomedical research and manufacturing. Institutions such as Texas A&M and the University of Texas – Rio Grande Valley continue to train and shape the talent pipeline.

   The year-round sunny and warm weather in the region allows for plenty of different energy sources. The region has an abundance of traditional and alternative energy sources, such as the continued establishment and development of natural gas, wind, and solar energy resources. Texas is the nation's leader in wind power generation and is ranked 2nd in the country for installed solar capacity. With a plethora of energy sources to choose from, high-powered businesses have access to different ways to fuel their operations all year-round.

   One of the latest industries to make the scene in the region is aerospace. Under the new Buy American Act, Executive Order 14005, the region gives aerospace and defense contractors a competitive edge. It is one of the fastest-growing industries with regional assets like the Space X launch site at Starbase. The state of Texas continues to look for ways to promote cluster growth for the region in this industry.

   This is just a brief overview of the top industries found in the Rio South Texas Region, which includes a wide availability of resources, and a ready workforce. COSTEP invites investors to visit the area and explore options that best suit them and their businesses. Rich in natural and artificial resources, investors will find the location exceeds their expectations for all of their manufacturing and distribution needs.