Mexico Nearshoring
Nearshoring in mexico industrial
Nearshoring in mexico consists of moving the factories from the country of origin to a nearby one where everything is cheaper: the wages of the workers, electricity and fuel, supplies… and even taxes.
This definition suggests that Mexico is the ideal destination for nearshoring, an industrial model that promises to change the course of the economy because it generates jobs, foreign investment, infrastructure and development.
Another feature for Mexico nearshoring is that, by sharing time zones, US companies can coordinate their operations in both territories.
Nearshoring can increase global exports from Latin America and the Caribbean by $78 billion each year, according to projections from the Inter-American Development Bank (IDB). 35,300 million correspond to Mexico (45%).
With nearshoring, companies have control of production, since they relocate their facilities and processes to manufacture all or parts of the final product. Unlike offshoring in which the task is delegated to a provider.
Nearshoring in mexico
Nearshoring is an industrial model that takes advantage of low production costs and its proximity to the consumer market. Faced with this situation, Mexico has been gradually gaining ground, and today we find ourselves in a totally favorable scenario for more companies in the United States to adopt nearshoring and focus on our country.
Mexico has well-established production and logistics chains with the United States, and it also shares time zones with its neighbor to the north, an advantage that companies and investors take into account when deciding where to locate their production centers.