Introduction: The decision is Mexico. The question is how. The business case for manufacturing in Mexico is clear. Labor availability, competitive cost, proximity to customers, and tariff dynamics all point in the same direction. The more complex question is execution. Once leadership decides on Mexico, the challenge shifts. How do we start quickly without missteps? … Continued
This blog post outlines a comprehensive approach for C-level executives considering moving their manufacturing operations to Mexico. It covers evaluating the suitability of Mexico, selecting the mode of entry, assessing potential locations, estimating costs, visiting sites, and making an informed decision. This guide highlights strategic insights, practical steps, and various approaches to facilitate this process, … Continued
Foreign manufacturers expanding into Mexico can find the process of hiring employees to be perplexing. Among other challenges, recruiting direct labor in Mexico tends to include some channels not typically used in the United States or Europe. To navigate the labor market in Mexico and harness the skilled manufacturing workforce the country offers, employers must learn … Continued
The incentives of operating close to the US, the world’s largest consumer base, have fully tipped the scales in Mexico’s favor. An increasing number of companies, including many Chinese companies, have made the tough decision to pull manufacturing out of China and into Mexico to support the US market better. These manufacturers find that Mexico’s … Continued
The offshore labor market has long been a cornerstone of global manufacturing strategies, offering companies the promise of reduced costs and enhanced competitiveness. However, recent disruptions in global supply chains have prompted a reevaluation of the true value of offshore manufacturing. As companies grapple with the complexities of offshore operations, it becomes imperative to scrutinize … Continued
Despite the fact that the U.S, Canada and Mexico are united under the North American Free Trade Agreement, the three countries are currently competing over gaining the largest share of the manufacturing sector. As such, investors and manufacturers throughout the region must consider the advantages and disadvantages of each location. As the competition among North … Continued
In navigating the complexities of cross-border manufacturing, companies must meticulously assess various entry modes into Mexico to ensure optimal operational efficiency and regulatory compliance. Each mode of entry, whether it be subcontracting, joint ventures, incorporation, or participation in the IMMEX shelter program, presents unique advantages and challenges. Cross-border manufacturing requires a nuanced approach that balances … Continued
Manufacturers contemplating a strategic move to either Monterrey or Saltillo in Northeastern Mexico must carefully consider the advantages each locale offers for outsourced production. While Monterrey boasts a diverse industrial landscape with renowned multinational companies spanning various sectors like appliances, electronics, and food, Saltillo emerges as an increasingly attractive alternative with its burgeoning automotive manufacturing … Continued
Well-connected, heavily supported, and up-to-date infrastructure is critical for success if you’re thinking about establishing a manufacturing operation. Explosive new growth in Mexico’s infrastructure is making the country even more attractive for companies seeking success. In addition to its extensive infrastructure upgrades, Mexico offers ample opportunities for logistics optimization, crucial for streamlining … Continued
Mexico attracts foreign direct investment through a broad combination of factors, most notably its economic stability, welcoming business client, skilled labor pool, and close proximity to one of the world’s largest consumers, the United States. Foreign investment has become a major part of Mexico’s economy, with long-term foreign direct investments making up between 2.3% to nearly … Continued
