Executive Briefings

Most Thinking of Moving Manufacturing Operations Closer to U.S. Have Eye on Mexico, Report Finds

Mexico, the United States' southern neighbor offers transportation distances a fraction of those from Asia, a labor force a good deal cheaper than domestic workers, and a country causing fewer headaches about intellectual property and other trade concerns. But in recent years, drug-related violence along the border has caused some manufacturers to be more cautious about making the move to Mexico.

Even with those concerns, Mexico continues to benefit from U.S. companies and other foreign investors who see it as an attractive manufacturing destination. In fact, 63 percent of those surveyed by AlixPartners, a business advisory firm, named Mexico the most attractive country for siting manufacturing operations closer to the United States. Only 19 percent of the companies reported supply-chain disruptions in Mexico as a result of security issues. And 50 percent reported they expect things to improve over the next five years.

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Keywords: Business Strategy Alignment, Supply Chain Analysis & Consulting, Global Supply Chain Management, The United States, Latin America, Transportation & Distribution, Third-Party Logistics, Global Logistics, Logistics, AlixPartners, Maquiladora, U.S.-Mexico Commerce

Even with those concerns, Mexico continues to benefit from U.S. companies and other foreign investors who see it as an attractive manufacturing destination. In fact, 63 percent of those surveyed by AlixPartners, a business advisory firm, named Mexico the most attractive country for siting manufacturing operations closer to the United States. Only 19 percent of the companies reported supply-chain disruptions in Mexico as a result of security issues. And 50 percent reported they expect things to improve over the next five years.

Read Full Article


Keywords: Business Strategy Alignment, Supply Chain Analysis & Consulting, Global Supply Chain Management, The United States, Latin America, Transportation & Distribution, Third-Party Logistics, Global Logistics, Logistics, AlixPartners, Maquiladora, U.S.-Mexico Commerce