Mexico looking to create 2024-40 national digital industry plan

Mexico wants to develop a comprehensive digital policy with the input of industry, the private sector, academia and the government to advance structured digital transformation projects, with the main focuses on AI, semiconductors, cloud, robotics and nearshoring.

A draft proposal for the national digital industry plan, covering the next 15 years until 2040, was presented on Wednesday in an event at the headquarters of Mexican telecoms regulator IFT.

The proposal is the cornerstone of an extensive study authored by Arturo Oropeza García, a member of Inadi, the country's institute for industrial development and digital transformation, and a doctor of law from Universidad Nacional Autónoma de México (UNAM).

Such a policy would be supported by a national council, comprising representatives of the public and private sectors, and inspired by best practices of Asian and European nations in terms of state-driven industrial policies.

“A systemic model is required. In this sense, we're talking about integration, about a national digital industrial council. What we have seen is that Asian models are mainly created through the vocation of the State,” said Oropeza García at the event, broadcast live on the internet and promoted by Huawei, as well as Inadi and the country's business association CCE.

García also made reference to Brazil, which has just launched a national AI plan and earlier this year presented a new industrial policy that focuses on technology, among other things. 

Oropeza García stressed that the proposal is not to create a model based on public investments. 

Structured by the public sector, he said, the national policy would serve to consolidate different programs and initiatives, as well as promoting private investment and scientific development.

Aside from creating the national council and formulating the national digital plan for 2024-40, other points of the proposal include boosting investments to reach the equivalent of 35% of GDP, with about 8% of financing coming from development banks.

It would also promote measures that allow foreign direct investment in the country to double within five years, and allow 3% of the country's GDP to go to infrastructure spending in 2025-35.

Other items include expanding sustainable development, promoting courses and careers in the science, technology, economics and mathematics (STEM), reducing the total cost of spectrum and increasing the gross added value of e-commerce to 15% of the country's GDP, in addition to increasing exports of ICT products to account for 20% of the country's total exports. 

“These types of goals can be achieved. Just as we're experiencing many threats and a great historical challenge, we're also living in a great age of opportunities. Nearshoring is one of them, geopolitical change is another. We have the great emergence of this digital transformation, in itself a huge opportunity for all countries,” Oropeza García said.

“The fourth industrial revolution is coming to an end. The first digital revolution is beginning with great force. It's a great opportunity.”