Mexican SMEs confront informality and financing hurdles amid nearshoring hopes

The State of Mexico hosts about 13% of the nation’s micro, small and medium enterprises (MiPyMEs), which together represent 99.8% of all economic units, generate roughly 72% of formal employment and 52% of GDP. The sector is plagued by high informality – 55.2% of workers were in informal arrangements in May 2026 – and limited capacity to maintain formal jobs.

Analysts note that only one in four Mexican SMEs obtains formal credit, while high interest rates, tax pressures such as a 10.5% digital‑sales levy and IEPS adjustments, and rising labor costs erode profitability. The upcoming 2026 revision of the USMCA (T‑MEC) adds uncertainty about possible tariffs in auto, steel and textile supply chains, complicating nearshoring opportunities that require higher quality standards and certification.

Persistent insecurity, extortion and robbery increase operating costs, while low productivity, limited digitalisation and slow adoption of AI and automation further constrain growth. Stakeholders call for institutional support—easier financing, simplified procedures, digital tools and tax regimes—to enable formalisation and bolster resilience.