Mexico’s Textile Industry Navigates T-MEC Review, Focuses on SME Professionalization

Mexico City, March 19, 2026 – The Mexican textile industry, a significant contributor to the regional economy, faces both challenges and opportunities as the Treaty between Mexico, the United States, and Canada (T-MEC) undergoes review. A key focus for growth within the sector is the professionalization of small and medium-sized enterprises (SMEs), according to industry experts.

Strategic Importance of the Textile Sector

The textile industry’s impact extends from raw materials to design, manufacturing, and marketing, influencing sectors like fashion, sports, health, and hospitality. Mexico’s combination of artisan tradition and manufacturing capacity positions it as a key player in regional trade under the T-MEC framework. Naydú Serrato, director of communications and sustainability at Textiles Lafayette, highlighted the sector’s strategic weight, noting its capacity to generate employment and its extensive production chain.

Addressing Informality and Promoting Growth

One of the primary obstacles to the industry’s growth is the high level of informality, particularly among clothing manufacturers. Many skilled artisans lack the business acumen needed to effectively market and scale their products. “They are experts in their craft, but many do not know how to afford or market their products,” Serrato explained.

‘Hilando Empresa’ Program: Bridging the Gap

Initiatives like the ‘Hilando Empresa’ program are working to address this gap by providing training and business support to entrepreneurs. The program has trained over 1,000 entrepreneurs across Latin America, with 70 projects in Mexico receiving seed capital to strengthen their operations. Training focuses on Administration, Finance, and Marketing, aiming to transform workshops into sustainable and competitive companies. Participants are “beginning to understand that more than a workshop, it is a company and how to professionalize their activity,” Serrato stated.

Empowering Women in the Industry

These initiatives similarly contribute to productive inclusion, particularly for women, who represent a significant portion of the sector. Over 643 female entrepreneurs have participated in the program’s various editions.

The Role of SMEs in Regional Development

Strengthening SMEs is crucial, as they account for more than 80% of economic activity in the region, making them a key driver of development.

Navigating T-MEC and International Competition

Within the context of the T-MEC, Serrato emphasized the importance of public policies that protect local production against international competition, particularly from low-cost imports. “It is important to value the local industry and generate conditions that allow competition, because otherwise the economy and national production will be affected,” she said.

Future Outlook: Innovation, Sustainability, and Talent

The textile industry can play a strategic role in economic growth by prioritizing innovation, sustainability, and talent development. Mexico’s textile industry is poised to contribute to North American economic integration, but modernization of its productive base is essential to compete in the global market. According to a report from EMR ACLAIGHT Enterprise, the Mexican fashion industry is projected to grow at a compound annual growth rate (CAGR) of 4.9% between 2025 and 2034, reaching a value of $45.48 billion in 2034. Source

Industry Challenges and Modernization

The Mexican textile industry is currently facing a technological lag, requiring investment in updated machinery and processes. Source Textiles Lafayette, a sustainable fabric manufacturer, offers a range of machinery from 4-cut to 28-cut in various stitches, including jersey, french terry, and rib knit. Source The professionalization of SMEs is seen as a key factor in overcoming these challenges and fostering growth, as noted by Textiles Lafayette. Source