Where is the best place to start manufacturing in Mexico?

Published Categorized as Manufacturing, Business in Mexico, Shelter model

The best place to start doing business in Mexico is with Stratecca!

No, but really, this is a very complex question to answer, because the most important service that we provide, is to help companies perform an adequate site selection process to start manufacturing in Mexico.

And this site selection is going to depend on different factors.

Let’s say that you are a mill. So, you’re going to use a lot of steel, therefore you need to be nearby a steel mill, right?

Or, let’s say that you want to be close to your clients, because you’re going to do a milk-run, with one drop to provide them with your pieces.

If you’re in automotive or aerospace, then you’re probably best off being in the centre of them all.

For instance, in the latest internationalization operation in which we participated, the site selection process pointed to the city of Aguascalientes, and even though it is a small city, Aguascalientes provided everything the company needed. Since their process was focused only in manufacturing in Mexico and send back the manufactured goods to Canada; We had two main considerations:

  • One was logistics; so, trying to cut down the cost and the time of sending our manufacturer-transformed goods back to the USA and Canada
  • Second was labour availability in Mexico, which is tied to the closeness to the main route that we were going to use.

So again, identifying the best place to start manufacturing in Mexico, depends on several factors.

Site selection is a very important part of the process, which consist of figuring out your company’s: special needs, city to set up operations, and the location within said city. Those are the big phases of selecting where you’re going to be manufacturing in Mexico.

we will help you find the right site to start manufacturing in Mexico

First, you need to be very clear on what is your “must” criteria. These are those factors, that are essential for your manufacturing project, the factors which without them the project wouldn’t even fly. Said factors will determine the location, and of course, you can also include your, “wants” and other “nice to have” factors. But normally, the “must” criteria is more related to logistics, availability of utilities, or a certain circumstance that is essential for your project.

Talk to actual experts that will help you find the right place to start manufacturing in Mexico

It’s really important when you’re making these decisions, to get help from somebody like one of the shelter companies, or like Stratecca, or other international business advisors that are out there. Get some professional advice. We’ve seen a lot of companies where, somebody knows someone else, that has some experience in Mexico, and relies on that one person, and they may be a great person to be part of your project team.

I don’t take away from their capability.

But in many cases, they don’t know all of the complexities that have just been mentioned here, and they’re not well positioned to help you make the best decision. They might be part of the implementation team, but they’re probably not part of the selection team, so talk to somebody, talk to all of the shelters if you want, but talk to somebody that has that kind of experience and knowledge.

Also, when talking to shelter companies in Mexico, of course they can provide you with a lot of help, but they will have a level of bias. They will try to sell you their facilities they have, which is after all their business model.

Talk to us, here at Stratecca, we'll help you find the right place to start manufacturing in Mexico

As part of our services, we provide a very complex and very fruitful site selection process, where we’re going to help you decide where it’s best for you to set up operations, regardless of external factors, such as any partners we might have within the shelters. And let me tell you, we just work with the best ones. I mean there’s more than 12 shelter companies in Mexico that are part of the index, which is like the manufacturing association in Mexico, and we just work with the best.

We don’t compromise our clients’ operations in that regard, and that’s why we just invite the best shelter companies in Mexico, like Tetakawi, like Prodensa, not just to help us in fulfilling our services and the site selection process, but also to share some of their experience and knowledge in our monthly livestreams.

So, if you are looking into expanding your business to Mexico, or implementing Mexico into your supply chain, call us and send us an email. We’ll be happy to help you find the right place for your company to start manufacturing in Mexico.

Are you a Canadian Business owner interested in start manufacturing in Mexico?