Ternium’s Strategic Partnership with Mexican SMEs through the Propymes Program
Ternium, a leading steel manufacturer, has long recognized the critical role that small and medium-sized enterprises play in a thriving economy. In the last 20 years, Ternium, alongside its parent company Grupo Techint, has spearheaded the Propymes Program, which has become a significant catalyst for the development of local businesses in Mexico. This initiative aims to strengthen SMEs, enhance their capabilities, and ultimately integrate them into Ternium's extensive supply chain.
The Propymes Program has provided invaluable support to over 1,100 SMEs, helping them scale their operations and reduce reliance on imported goods. By empowering these businesses, Ternium not only helps boost the local economy but also contributes to Mexico's industrial self-sufficiency.
Key Achievements of the Propymes Program
•Supporting Local Businesses: Through its Propymes Program, Ternium has helped over 1,100 SMEs enhance their production processes, improve quality standards, and boost operational efficiency. This has allowed these businesses to grow and meet the rising demand for quality products in Mexico.
•Boosting Local Steel Production: By focusing on the substitution of imported products, Ternium has encouraged SMEs to increase their capacity to produce locally sourced goods, thus reducing Mexico’s reliance on foreign imports and supporting the local steel industry.
•Job Creation: Through the development of SMEs, Ternium’s program has led to the creation of new jobs within the steel industry and other associated sectors. These jobs not only contribute to economic growth but also ensure that businesses within Mexico have access to skilled labor and talent.
•Building a Robust Supply Chain: Today, Ternium’s Mexican operations depend on 5,700 companies either as clients or suppliers, of which 90% are SMEs. This significant proportion highlights the importance of SMEs in Ternium’s supply chain. By supporting these businesses, Ternium strengthens its own network and ensures the long-term stability and resilience of its operations.
Economic Impact on Mexico’s Industrial Landscape
Ternium's dedication to supporting local SMEs through the Propymes Program has had a profound economic impact on Mexico. By fostering the growth of small and medium-sized companies, Ternium has contributed to the strengthening of Mexico’s industrial ecosystem, especially in the steel sector.
The program’s focus on local sourcing and supply chain integration has helped create a more self-sustaining and resilient economy, making it less vulnerable to external factors such as import disruptions or changes in international trade policies. Additionally, the program encourages innovation and continuous improvement, leading to the development of cutting-edge technologies and better production methods among local suppliers.
Building Long-Term Partnerships
The long-term success of the Propymes Program relies on the ongoing commitment of Ternium to cultivate and maintain lasting relationships with its SME partners. By providing training, resources, and financial support, Ternium helps local businesses adapt to market trends, meet international standards, and secure new growth opportunities.
Ternium’s partnership with local SMEs is also crucial for maintaining supply chain flexibility. As the global economy becomes increasingly volatile, Ternium’s ability to rely on a strong domestic network allows the company to quickly adapt to changing market conditions and respond to customer demands with agility.
Key Benefits for Small and Medium-Sized Enterprises
For the SMEs involved in the Propymes Program, the benefits are clear. Participants gain access to a range of valuable resources, including:
•Training and Workshops: Ternium offers comprehensive training programs to help SMEs improve their management skills, technical knowledge, and overall production capacity. This enhances their competitiveness both in the local market and internationally.
•Financial Support: Through various forms of financing, Ternium assists SMEs in securing the necessary capital to upgrade machinery, improve facilities, and increase production capacity.
•Networking Opportunities: Being part of Ternium’s extensive supply chain allows SMEs to connect with other industry players, share best practices, and expand their market reach.
•Quality Control and Certification: Ternium helps SMEs meet the necessary quality standards by providing access to state-of-the-art technologies and tools for quality control. This improves the products that SMEs can offer, ensuring they meet the expectations of larger clients and global markets.
The Future of the Propymes Program
As the Propymes Program continues to evolve, its success lies in Ternium’s ability to adapt to the changing needs of its local partners and continue fostering innovation, growth, and sustainability within its supply chain. Moving forward, Ternium is committed to strengthening its collaboration with Mexican SMEs and expanding its network of local suppliers, ultimately contributing to Mexico’s ongoing industrial development and competitiveness on the global stage.
The program is also positioned to play a vital role in economic recovery, helping SMEs navigate challenges such as supply chain disruptions and market fluctuations. By fostering a collaborative environment, the Propymes Program will continue to provide valuable support to Mexico’s small and medium-sized businesses for years to come.
