Hanjin went bankrupt<\/a>, their employees were let go, which caused millions of containers full of products to be frozen in place. It was a logistical nightmare for all the customers involved.<\/p>\nWhile we don’t expect ocean cargo companies to go bankrupt every year, the point is that any number of things can go wrong when shipping cargo halfway around the globe. The more interruptions that occur during the supply chain, the higher the costs. When pricing parts or components, it’s important to consider the potential risks of an interruption and adjust costs accordingly.<\/p>\n
To lower the risk of supply chain interruptions, it’s best to play it safe and stick with a manufacturer that\u2019s located in close proximity. For U.S.- and Canada-based auto parts distributors, a Mexican manufacturer is the safest bet because the supply chain between the company and Mexico is incredibly short, which means fewer risks of supply chain interruption.<\/p>\n
4. Lower Shipping Costs From Mexico<\/h2>\n The costs associated with manufacturing in Mexico are low. The hourly compensation costs in Mexican manufacturing are among the lowest in the world, and as a result contract manufacturers in Mexico are typically directly competitive with Asian manufacturers on a per-piece rate. \n <\/p>\n
However, this cost competitiveness overlooks the low shipping costs of Mexican manufacturing. As a result of the short distance between Mexican manufacturing and the US and Canadian markets, Mexican manufacturing often has a cost advantage over manufacturers in Asia.<\/p>\n
5. Quality Production<\/h2>\n Did you know that Mexico has more graduates in construction, engineering, and manufacturing per capita than the U.S.? That means many Mexican manufacturers, including Intran, have an easy time hiring the best talent in the industry, ensuring cutting-edge innovations and top quality production. When you contract with a reputable Mexican auto parts manufacturer, you\u2019ll have access to a talented workforce that will produce top-quality auto parts for you.<\/p>\n
6. Intellectual Property Protections<\/h2>\n While many countries merely pay lip service to intellectual property concerns, Mexico takes intellectual property law very seriously. Not only are our intellectual property laws similar to those in the US and Canada, but they\u2019re enforced in a way that makes them fair and favorable to foreign businesses. Foreign companies have recourse under Mexican law, and Mexican manufacturers take IP very seriously as a result.<\/p>\n
7. Easy Factory Visits In Mexico<\/h2>\n <\/p>\n
A face-to-face visit is one of the smartest things any company can do to get the best possible result from a contract manufacturer. Meeting face-to-face on the factory floor goes a long way towards building a relationship with a manufacturer, but that’s not all.<\/p>\n
\nIf\/when there’s a production issue, it’s great to be able to address the issue in-person<\/li>\n Personal visits are more efficient than emailing and conference calls<\/li>\n Design and engineering teams often benefit greatly from seeing parts in production, and that helps improve product quality and reduce costs as a result<\/li>\n<\/ul>\nIf your company contracts a manufacturer in Asia, factory visits will be few and far between. Not only are these visits expensive, but they’re extremely taxing. Many of the people who visit Asia from North America will lose nearly a week’s worth of productivity due to jet lag and time changes, even with a short visit.<\/p>\n
Visiting Mexico, on the other hand, is a day trip. Another great reason to manufacture in Mexico. (<\/p>\n
Summing Up<\/h2>\n Mexico is one of the world’s largest manufacturing economies for a reason – it just makes sense. US and Canadian companies can contract manufacturing in Mexico at a great cost, with no concerns about quality, long supply chains, or intellectual property.<\/p>\n
If your company is looking for a Mexican manufacturer, contact us<\/a>. We’re one of Mexico’s premier contract manufacturers, and we have sales offices in both the US and Mexico to make bidding as easy as possible.<\/p>\n","protected":false},"excerpt":{"rendered":"Did you know that Mexico is the fifth-largest OEM and aftermarket auto parts manufacturing hub in the world? Many US and Canadian companies are moving their manufacturing to Mexico because doing so comes with a variety of benefits. Let\u2019s cover seven of them.","protected":false},"author":6,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[25,5],"tags":[26,11],"acf":[],"yoast_head":"\n7 Key Benefits Of Manufacturing Auto Parts In Mexico | Intran Blog<\/title>\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\t \n\t \n\t \n