Honduras’ New Political Era and Its Impact on Manufacturing Investment

How Green Valley Advanced Manufacturing Hub Is Positioned at

the Center of the Country’s Next Industrial Chapter

By Green Valley Advanced Manufacturing Hub

Honduras’ New Political Era and Its Impact on Manufacturing Investment

Honduras is entering a decisive moment in its economic and industrial development. Following

the 2025 presidential election, the country is preparing for a new administration led by Nasry

“Tito” Asfura, a president-elect whose platform and international alignment represent a clear

shift toward investment, industrial growth, and job creation.

This political transition is especially relevant for the manufacturing sector — the backbone of

Honduras’ formal economy — and for strategic industrial developments such as Green Valley

Advanced Manufacturing Hub, which are designed to support large-scale, export-oriented

production.

As Honduras repositions itself under a business-focused government with strong ties to the

United States, the country is laying the groundwork for a new phase of manufacturing

expansion, driven by foreign direct investment, industrial competitiveness, and public–private

collaboration.

A Political Shift With Clear Economic Intent

The election of Nasry “Tito” Asfura marks a transition from a left-leaning administration to a

pro-business National Party government, historically associated with private-sector engagement

and export-driven development.

Throughout his campaign and early post-election engagements, Asfura emphasized priorities

that directly impact manufacturing investment:

● Economic development through productive industries

● Attraction of foreign and domestic investment

● Formal job creation through industrial growth

These priorities are particularly relevant in Honduras, where manufacturing has long been one

of the largest generators of formal employment and export revenues.

International observers validated the electoral process, and key global partners — including the

United States — formally recognized the election results. This orderly transition reinforced

institutional stability and sent an important signal to international investors: Honduras is entering

a phase of political continuity and economic pragmatism.

Strengthened Relations With the United States: A Strategic

Advantage for Manufacturing

One of the most significant implications of this political transition is the renewed and

strengthened relationship between Honduras and the United States, its principal trading partner

and largest source of foreign investment.

The United States is:

● Honduras’ largest export destination, particularly for manufactured goods

● A primary source of foreign direct investment (FDI)

● A long-standing partner in industrial development, workforce integration, and trade

During the campaign, former U.S. President Donald Trump publicly endorsed Asfura,

highlighting political alignment and renewed geopolitical attention. Following the election, U.S.

officials congratulated the president-elect and reaffirmed their commitment to bilateral

cooperation focused on economic growth, trade, and investment.

For manufacturing investors, this alignment matters. Strong diplomatic relations reduce political

risk, support regulatory predictability, and create a more stable environment for long-term,

capital-intensive manufacturing projects.

Honduras’ Manufacturing Backbone: Core Industrial Sectors

Honduras’ manufacturing sector is built on decades of export-oriented industrial activity. Several

sectors stand out as the strongest and most established pillars of the country’s industrial

economy.

Textile Manufacturing: The Leading Industrial Sector

Textile manufacturing remains the strongest manufacturing industry in Honduras, accounting for

a significant share of exports and formal employment.

The country hosts vertically integrated textile operations supplying major international brands,

supported by:

● An experienced and scalable workforce

● Established industrial infrastructure

● Strong logistics and export capabilities

● Preferential access to international markets

The resilience and maturity of the textile sector provide a stable foundation for continued

industrial growth and reinvestment.

Automotive Sector Manufacturing and Auto Parts Production

Closely following textiles, automotive sector manufacturing — particularly the production of

automotive wiring harnesses and components — represents one of Honduras’ most advanced

industrial capabilities.

Honduras has demonstrated its ability to host complex automotive manufacturing operations

that meet international quality, safety, and compliance standards. These operations require:

● Skilled technical labor

● Precision manufacturing processes

● Robust quality control systems

● Reliable export logistics

The presence of automotive manufacturing underscores Honduras’ capacity to support

advanced, high-value industrial activity.

Complementary and Emerging Manufacturing Industries

Beyond its two strongest sectors, Honduras continues to attract investment in:

● Medical device manufacturing

● Shoe manufacturing and footwear components

● Electronics assembly

● Light industrial and value-added manufacturing

These industries benefit from the same structural advantages: competitive costs,

export-oriented frameworks, and a workforce experienced in industrial production.

Foreign Direct Investment: The Data Behind Manufacturing Growth

Foreign Direct Investment is one of the clearest indicators of international confidence in

Honduras’ manufacturing sector.

According to internationally recognized sources:

● Honduras received approximately USD 1.09 billion in Foreign Direct Investment in 2023,

with manufacturing accounting for one of the largest shares of that capital.

● In 2024 and 2025, FDI inflows continued to show positive momentum, with quarterly

increases exceeding USD 100 million, despite global economic uncertainty.

● Manufacturing-related FDI — particularly in textiles and automotive components —

represents a significant portion of total foreign investment entering the country.

FDI as a percentage of GDP places Honduras among the more competitive manufacturing

destinations in Central America.

Importantly, FDI in manufacturing reflects long-term commitments: factories, equipment, workforce training, and export infrastructure. Historically, the main constraint on faster FDI growth has not been industrial capacity, but political uncertainty and regulatory inconsistency. The new administration’s pro-investment stance and strong U.S. alignment directly address these concerns, improving investor confidence and long-term policy predictability.

Green Valley Advanced Manufacturing Hub: Positioned at the Center of the New Industrial Cycle

At Green Valley Advanced Manufacturing Hub, this political transition represents a strategic

inflection point.

Green Valley was developed with a long-term vision: to serve as a next-generation

manufacturing platform capable of supporting large-scale, export-oriented production across

multiple industries — with a particular focus on textiles and automotive manufacturing.

A Close Relationship With the New Administration

Green Valley maintains a close and constructive relationship with the incoming government,

including direct engagement with President-elect Asfura and his economic team.

This relationship positions Green Valley as:

● A trusted partner in national investment attraction efforts

● A priority site for government-supported industrial expansion

● A strategic platform for new manufacturing projects and international clients

The new administration recognizes that industrial parks are essential to converting policy into

tangible results — jobs, exports, and economic growth.

Government Support for Expansion and New Investment

Under the new political leadership, industrial hubs like Green Valley are expected to benefit

from:

● Improved institutional coordination

● Streamlined permitting and regulatory processes

● Infrastructure investment aligned with industrial needs

● Active government participation in investor outreach

Green Valley is positioned to become one of the most important manufacturing hubs in

Honduras, supporting the arrival of new industries, the expansion of existing operations, and the

long-term growth of export manufacturing.

Why This Moment Matters for Manufacturing Investors

For manufacturing companies evaluating investment or expansion in Honduras, the current

moment offers a rare convergence of advantages:

● A business-oriented government with a clear manufacturing agenda

● Strengthened diplomatic and economic ties with the United States

● Proven industrial sectors led by textiles and automotive manufacturing

● Industrial parks aligned with government priorities and expansion plans Green Valley offers more than physical infrastructure. It provides institutional alignment, operational readiness, and long-term stability — critical factors for manufacturers making multi-year investment decisions.

Conclusion: A Strategic Opportunity for Manufacturing in Honduras

Honduras’ political transition under President-elect Nasry “Tito” Asfura marks the beginning of a

new era for manufacturing investment.

With a government openly committed to industrial growth, strengthened U.S. relations, and

foreign direct investment, the country is positioned to elevate its manufacturing sector — led by

textiles and automotive manufacturing — while continuing to diversify into medical devices,

footwear, and other advanced industries.

At the center of this transformation stands Green Valley Advanced Manufacturing Hub: a

strategic platform, a government-aligned partner, and a destination designed to support the next

generation of manufacturing investment in Honduras.

From where we stand at Green Valley, the opportunity is clear — and the moment is now.

Honduras’ New Political Era and Its Impact on Manufacturing Investment