Villa de Reyes redefines industrial development in San Luis Potosí through a model built on talent, energy, and efficiency

Villa de Reyes has transitioned from an agriculture-based municipality into one of the most dynamic manufacturing hubs in the Bajío region. This transformation is not only the result of strategic investments, but also of a structured vision that integrates economic development, territorial planning, and human capital strengthening.

“Today, Villa de Reyes is the industrial and technological engine of San Luis Potosí, and we are on track to become one of the most important industrial hubs in Mexico,” said Gerardo Alfonso Rodríguez Baldazo, Director of Economic Development of the municipality.

This positioning is rooted in a rapid transformation that began with the arrival of General Motors and was later reinforced by BMW, redefining the municipality’s productive profile.

From agricultural municipality to industrial hub

Until the early 2000s, Villa de Reyes maintained a predominantly agricultural economy. The arrival of the automotive industry marked a turning point that reshaped its development path.

Over the past two decades, the municipality has experienced accelerated growth in advanced manufacturing, exports, and foreign direct investment.

The results are significant. Over the last five years, exports have increased by more than 1,600%, now accounting for approximately 42% of total exports in San Luis Potosí.

Additionally, Villa de Reyes generates nearly 30% of the state’s total gross production, despite having a population of just over 50,000 inhabitants, reflecting its high industrial productivity.

Energy, automation, and global investment as growth drivers

One of the most critical factors behind the municipality’s growth is its energy capacity, supported by thermoelectric infrastructure and recent power generation projects. This availability has positioned Villa de Reyes as one of the few regions in Mexico capable of sustaining large-scale industrial expansion.

As a result, the municipality has rapidly adopted advanced manufacturing technologies. “Between 18% and 21% of all industrial robots arriving in Mexico are being installed in Villa de Reyes,” Rodríguez Baldazo noted.

This technological momentum is accompanied by a new wave of international investment. At the beginning of the year, two new plants were inaugurated: SL MEX, focused on automotive lighting systems, and JENMAX, a South Korean company integrated into global automotive supply chains.

The investment pipeline continues to expand. Over the course of this year, seven additional plants are expected to begin operations, followed by six more projects scheduled for next year, most of them backed by Asian capital, particularly from China.

This trend underscores a clear shift: Villa de Reyes is becoming a strategic node for international supplier integration within North America’s manufacturing ecosystem.

A human-centered development model

Beyond infrastructure, Villa de Reyes has built its growth strategy around a strong social development component. The municipality began with a clear diagnosis: despite industrial activity, a large portion of the population was not benefiting from economic growth.

“In 2018, we identified that 58% of workers were living in labor poverty, despite the presence of major industries,” Rodríguez Baldazo explained.

In response, targeted programs were implemented to address basic needs, improve access to education, and strengthen household stability. This approach has not only improved quality of life, but also enhanced workforce productivity, creating a more sustainable growth model.

Talent and specialization: moving toward higher-value industries

With a solid industrial base in place, the next phase for Villa de Reyes is to elevate workforce specialization. The municipality is advancing technical training programs focused on robotics, automation, and advanced manufacturing, aligned with the sector’s technological evolution.

“If we are concentrating a significant share of industrial robots, we must also develop the technical talent capable of operating and maintaining them,” Rodríguez Baldazo emphasized.

At the same time, Villa de Reyes is expanding into higher-value industries. One of the most significant milestones is the arrival of the first aerospace company in the municipality, which will later incorporate biomechanical capabilities, marking a new stage of industrial sophistication.

Integration into global supply chains

Villa de Reyes’ growth is closely tied to the nearshoring trend and the reconfiguration of global supply chains. Companies operating in the municipality are strongly linked to the U.S. market, which accounts for more than 93% of exports.

At the same time, new investments are increasingly serving multiple OEMs across North America, strengthening the resilience and diversification of the regional industrial base.

Institutional agility as a key differentiator

Villa de Reyes is also transforming its administrative processes to facilitate investment. Construction permits are currently issued in approximately seven business days, and operating licenses in three days, with a goal to reduce these timelines to two days and one day, respectively, through the implementation of a one-stop investment window.

“Our goal is to become the most business-friendly municipality in Mexico by eliminating bureaucracy and corruption,” Rodríguez Baldazo said.

Together, all these initiatives demonstrate that industrial development can be built through an integrated approach where economic competitiveness and social progress advance together.