News & Insights for Manufacturing in Mexico

US Secretary of Commerce on Mexico

Written by Ivan Barrios | Sep 25, 2013 6:12:33 PM

Recently installed U.S. Secretary of Commerce Penny Pritzker will go to Mexico for her first official trade mission Nov. 18. She will focus on industries including advanced manufacturing, according to the LA Times. Prior to that, she will co-chair the launch of the U.S.-Mexico High Level Economic Dialog in Mexico City. Pritzker says many U.S. firms have found their fears of drug-related violence to be unfounded in Mexico, where President Enrique Peña Nieto has worked hard to create a welcoming environment for investment and business activity.

"He's really gotten great support in his country for education reform and other things," Pritzker told the Times. "It's going to create continued opportunities for the two countries to work together, both diplomatically and economically."

According to Pritzker, North America is increasingly competitive in the manufacturing sector. Companies are beginning to see the value in bringing their production to the U.S. or to nearby Mexico, its third-largest trading partner. The reasons The LA Times gave for this development include interrelated supply chains between the two countries, which Pritzker called an asset for the Western hemisphere.

Companies have many reasons for bringing production to Mexico, including the promise of manufacturing costs by doing so. It is more cost-effective to manufacture in Mexico than in many other locations where companies investigate overseas production.

With the help of an offshore shelter, companies can take advantage of the many benefits Mexico offers for manufacturers and foreign businesses. They can also secure the best employees in the area of their choice. Many manufacturing hubs in the country are located near prestigious educational institutions, and most manufacturing personnel in the area are very proficient in their jobs. Shelter companies can help manufacturers get the resources necessary for a successful venture in Mexico. Manufacturers may not be aware of all of the opportunities Mexico presents without some guidance.