Industry Trend Analysis - Set For Solid Growth Across Mineral Sectors - NOV 2017

BMI View: Mexico's mining industry will post among the strongest recoveries in Latin America over the coming years, driven by strong project pipelines across mineral sectors, competitive operating costs, supportive government policies and rising metal prices.

Last year, we identified Mexico as well-positioned to benefit from the recovery in metal prices given the country's strong project pipeline and diverse mining industry ( see ' Mexico Mining Well-Positioned For Price Rebound In Key Metals ' , October 18 2016). This view continues to play out, with a government report from September estimating a nearly 50% y-o-y increase in mining investment to USD5.5bn in 2017. We forecast Mexico's mining industry value to average 3.0% y-o-y growth over 2017-2021 compared to an average 1.6% across the Americas.

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Mexico - Mining Industry Value By Commodity (USDbn)
e/f = BMI estimate/forecast. Source: INEGI, BMI

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