Companies already show success in the border economy
Tucson’s economic development leaders are all abuzz about ramping up trade with Mexico. Local government officials, Tucson Regional Economic Opportunities (TREO), the Tucson Hispanic Chamber of Commerce and other big players have a list of improvements they want to work on to make our Southern Arizona region a hub for Mexican imports and exports. They include
- better border crossing operations
- a new Interstate 11 highway linking Mexico with Canada through our region
- more U.S. transportation and logistics facilities
- better relations with Mexico’s government and economic development organizations
- a resource guide of Arizona-Sonora products and services.
All of these and other efforts will give Southern Arizona a vital role in moving finished goods and components between the two countries.
We at Commercial Real Estate of Tucson want to remind leaders that trade is more than U.S. and Mexico companies importing and exporting goods. There’s also the creation and expansion of international business in which one company uses the border economy to benefit its bottom line and the people who live on both sides of this international line.
Sargent Aerospace & Defense is a perfect example. It’s a global supplier of parts for military and domestic aircraft. Its Marana headquarters allows it to tap a workforce that can fill its need for aerospace design, engineering, program management and highly skilled manufacturing, while still maintaining the economic benefits of its Mexican manufacturing plant.
International business in Tucson works the other way, too. Arizona Canning Company, owned by Conservas La Costeña in Mexico, manufacturers cans and produces canned food products.
Company officials say the Tucson manufacturing building—originally used by another company that subsequently closed the plant—provided them the U.S. headquarters facility they sought. An available skilled workforce and a distribution infrastructure in Southern Arizona also convinced the company to run an operation in Tucson.
There are many examples of businesses finding success on both sides of the border. Insurance companies, law firms, accounting firms, employment agencies and commercial real estate brokers in Tucson meet needs both in the United States and Mexico.
Small Business Support
Providing support for these types of businesses is just as important as the big-ticket, complex projects that grow the import/export trade.
“Coordination between the U.S. and Mexico on an effort to bolster micro and small business activity in international trade would greatly enhance the economic recovery of our region,” testified Lea Marquez Peterson, Tucson Hispanic Chamber of Commerce president, before the U.S. House Committee on Foreign Affairs last December.
Mexico already recognizes the need for small-business development and has formed a National Institute of the Entrepreneur. Peterson asked the committee to find similar ways to help U.S. small businesses develop markets in Mexico.
We agree with her. It would strengthen our region’s already successful border economy while we wait for the buzz surrounding a Southern Arizona international trade powerhouse to become reality.
Commercial Real Estate Group of Tucson can answer your questions about obtaining commercial real estate within the border economic area of Southern Arizona, Sonora and Sinaloa. Contact Michael Coretz, email@example.com or +1-520-299-3400.