Outsourcing Manufacturing To China Vs Mexico – Labor Laws And Norms
US and Canadian companies have concerns about outsourcing manufacturing, not the least of which is worker welfare. No company wants to be associated with worker exploitation.
US and Canadian companies have concerns about outsourcing manufacturing, not the least of which is worker welfare. No company wants to be associated with worker exploitation.
The auto parts business is thriving on a global level, so we wondered which countries send the most auto parts to the United States.
Did you know that Mexico is a green manufacturing powerhouse? In 2013, Mexico embarked on a major energy reform plan. Since that time, growth in renewable energy output has been dramatic. By 2024, 35% of the electricity used in Mexico will be generated by renewable energy sources.
At the turn of the century, U.S. and Canadian companies started noticing the many benefits of manufacturing in Mexico. Today, over 35 billion U.S. and Canadian dollars have been invested into Mexican manufacturing facilities, and the number of U.S. and Canadian businesses outsourcing to Mexico continues to grow every year.
When automakers look for a place to build their factories, they take into account labor costs, trade agreements, and proximity to their biggest markets. They need to build in a country that will deliver in all three areas.
Working with a contract manufacturer is one of the most important relationships your company will have. The quality of your products play a big part in your company’s success, and the manufacturer you choose has a lot of control over this.
There are many myths about outsourcing to Mexico, including that Mexican manufacturers hurt U.S. workers, push out subpar products, and skirt manufacturing laws. These myths couldn’t be farther from the truth! Here’s why Mexican manufacturing is worth considering.
The golden age of ocean shipping costs has come to an end. Over 90 percent of global trade is transported by sea, but that might change soon. This year, we’re seeing the first drastic increase in ocean freight shipping costs since 2010.
Earlier this year, Aftermarket Business World interviewed our CEO, Juan Cintrón, on why the United States should continue outsourcing auto parts from Mexico. Cintrón provides a positive outlook on the future relations between the U.S. and Mexico, but he drives home some realistic and insightful points.
If you run a US or Canadian company that needs manufacturing help, you may be tempted to source production in Asia. While the costs of manufacturing in Asia aren’t always the lowest (in fact, Mexican manufacturing is often the least expensive option for North American companies), there are established manufacturers in Asia that deliver quality and value.