Hellmann Worldwide Logistics’ Post

【Cross border land transportation between Mexico and USA】 Many businesses are now moving their supply chains to the USA rather than sourcing materials from Asia; this is known as ‘nearshoring’. The shift has occurred because global supply chains often need long lead times and incur high costs associated with transporting goods. Nearshoring presents an opportunity for businesses to reduce expenditure of both time and money while introducing new regions into their operations – one such country being Mexico. Tariffs imposed by the United States in 2018 have caused some businesses to look for alternative markets to reduce costs. The United States-Mexico-Canada Agreement increased regional value content requirements for products to be considered to be made in North America, giving producers an incentive to relocate their supply chains. The widespread of Covid-19 and eruption of Russia-Ukraine war in the last two years also worked together to disrupt the logistics from Asia to USA too seriously to force companies to build up another manufacturing site in Mexico. In 2022, new investments represented 48% of total FDI into Mexico, the highest since 2013. According to market analysis, there are primarily two types of groups that are reallocating to Mexico. The first group is integrated with American companies that already had operations in Mexico and are now expanding their capacity. The second group comprises Chinese companies that are seeking the benefit of producing in North America while avoiding the high costs of labor and reducing the risks of disruptions in the supply chain.   Learn more : https://buff.ly/3Rw6acJ Appreciate if you could share TGL Blog among your friends who are interested in first-hand market information of supply chain and updated economic incidents. Subscribe : https://buff.ly/3ZrEtUl #USA and Mexico #logistics #supply chain

As #global #supplychains shift, Mexico continues to attract a wave of foreign manufacturers Read more, https://hubs.la/Q025Y8vh0 #Transborder #FreightForwarding #Logistics #AirFreight #GroundShipping

【Cross border land transportation between Mexico and USA】 Many businesses are now moving their supply chains to the USA rather than sourcing materials from Asia; this is known as ‘nearshoring’. The shift has occurred because global supply chains often need long lead times and incur high costs associated with transporting goods. Nearshoring presents an opportunity for businesses to reduce expenditure of both time and money while introducing new regions into their operations – one such country being Mexico. Tariffs imposed by the United States in 2018 have caused some businesses to look for alternative markets to reduce costs. The United States-Mexico-Canada Agreement increased regional value content requirements for products to be considered to be made in North America, giving producers an incentive to relocate their supply chains. The widespread of Covid-19 and eruption of Russia-Ukraine war in the last two years also worked together to disrupt the logistics from Asia to USA too seriously to force companies to build up another manufacturing site in Mexico. In 2022, new investments represented 48% of total FDI into Mexico, the highest since 2013. According to market analysis, there are primarily two types of groups that are reallocating to Mexico. The first group is integrated with American companies that already had operations in Mexico and are now expanding their capacity. The second group comprises Chinese companies that are seeking the benefit of producing in North America while avoiding the high costs of labor and reducing the risks of disruptions in the supply chain.   Learn more : https://buff.ly/3Rw6acJ Appreciate if you could share TGL Blog among your friends who are interested in first-hand market information of supply chain and updated economic incidents. Subscribe : https://buff.ly/3ZrEtUl #USA and Mexico #logistics #supply chain

【Cross border land transportation between Mexico and USA】 Many businesses are now moving their supply chains to the USA rather than sourcing materials from Asia; this is known as ‘nearshoring’. The shift has occurred because global supply chains often need long lead times and incur high costs associated with transporting goods. Nearshoring presents an opportunity for businesses to reduce expenditure of both time and money while introducing new regions into their operations – one such country being Mexico. Tariffs imposed by the United States in 2018 have caused some businesses to look for alternative markets to reduce costs. The United States-Mexico-Canada Agreement increased regional value content requirements for products to be considered to be made in North America, giving producers an incentive to relocate their supply chains. The widespread of Covid-19 and eruption of Russia-Ukraine war in the last two years also worked together to disrupt the logistics from Asia to USA too seriously to force companies to build up another manufacturing site in Mexico. In 2022, new investments represented 48% of total FDI into Mexico, the highest since 2013. According to market analysis, there are primarily two types of groups that are reallocating to Mexico. The first group is integrated with American companies that already had operations in Mexico and are now expanding their capacity. The second group comprises Chinese companies that are seeking the benefit of producing in North America while avoiding the high costs of labor and reducing the risks of disruptions in the supply chain.   Learn more : https://buff.ly/3Rw6acJ Appreciate if you could share TGL Blog among your friends who are interested in first-hand market information of supply chain and updated economic incidents. Subscribe : https://buff.ly/3ZrEtUl #USA and Mexico #logistics #supply chain