Offshoring manufacturing is an option many companies consider in order to reduce operating expenses, while maintaining a high-quality end product. If you are considering manufacturing offshore, you may be wondering what offshoring is, where the best place is for offshore manufacturing, and the pros of offshoring. Below is a comprehensive guide to why you should consider offshore manufacturing and the tremendous offshoring benefits that you can garner if you choose [...]

Contrary to conventional wisdom, manufacturing in Mexico, and the existence of NAFTA , could be the answer to creating more jobs in the United States over the next twenty years. Since the mid-1980’s, manufacturing jobs have steadily declined in the United States due to a variety of factors, the most impactful of which continues to be automation.  However, another significant attribute was the dramatic difference in labor costs in other [...]

Cost is of the utmost importance to companies considering expanding or moving their manufacturing operations to another country. When analyzing the cost of manufacturing, many companies choose to relocate their manufacturing to Mexico for a number of reasons. These reasons vary from lower labor rates to the availability of qualified workers, but each reason is vital to consider in order to conduct a comprehensive analysis of what the costs of [...]

As the manufacturing industry continually shifts to nearshoring operations in Mexico from China, the preponderance of products made in Mexico is steadily increasing. As a consumer, the first concern is whether or not the quality of the product made in Mexico is commensurate with those made in the United States and China. In addition to this, it is important to consider the top industries thriving in Mexico and the companies [...]

The wages of workers in Mexico are one of the most cost-effective aspects of nearshoring manufacturing operations to Mexico. In recent years, the hourly wage rate of workers in Mexico has dipped below that of China, making it one of the most popular places for manufacturing operations, particularly for products destined for the United States. In order to understand wages in Mexico, it is vital to consider the various factors [...]

Updated for relevancy: February 11, 2025 Outsourcing and offshoring are often used synonymously. However, the terms have two very different meanings and implications. Outsourcing is when a company negotiates a contract with a third party to perform a specific function. When outsourcing a process, business operation, or work to a third party, it is vital to find a company or person that specializes in the task at hand. In contrast, [...]

This content was last updated on July 17, 2019. Maquiladora Definition A Maquiladora is a factory or manufacturing operation in Mexico run by a foreign company and exporting its products to the country of that company. These factories import certain raw materials on a duty-free and tariff-free basis for manufacturing and then export the manufactured goods back to the country of the company that produces the manufactured goods (often the [...]

Content was last updated for relevancy and accuracy on September 30, 2019.  China and Mexico are two of the most popular choices for manufacturing because of the low production costs and high volume environments. In order to choose between manufacturing in these two locations, an analysis of the pros and cons of manufacturing in Mexico vs. China should be considered.   China vs. Mexico Wage Rate Comparison One of the [...]

  Content was updated for accuracy and relevancy on January 17, 2020. Following the introduction of the North American Free Trade Agreement (NAFTA), many industries have relocated their manufacturing operations to Mexico. This exodus has caused a need for a better understanding of labor laws in Mexico and how they differ from those in the United States. Mexico labor laws are designed to improve the quality of employment relationships, protect [...]