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Is Mexico Becoming New U.S. Manufacturing Hub?
- Alma Denisse Martinez Salazar
- The regulatory autocracy enforced by the free-wheeling Environmental Protection Agency is adding additional costs in increased manpower enforcement needs, while complicating these businesses’ previous unrestrained marketing opportunities.
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The “Obamacare” mandate, eventually leading to a single payer healthcare structure, further detracts from corporate bottom lines.
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The increasing pressure for a national $15 per hour minimum wage has increasingly concerned the Board of Directors’ of large conglomerates, as well as independent businesses. Together with an Administration call for a full-time benefit supported weekly hourly level lowered to 30 hours, instead of the current 40 hours, is being met with grave concern.
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With China losing ground as a cost-effective provider of lower costs, the move to Mexico provides greater long-term business stability. This includes equal or better labor cost advantages, proven acceptable quality levels, whether finished goods or components; smaller orders and faster shipments from a Southern neighbor that seems to have an abundant workforce for greater availability.
With business, as well as the U.S. public in general, concerned as to the business-friendly approach by a successor presidency, the move to Mexico could be largely influenced in its intensity by the results of the November 8 presidential and Congressional elections; and their assumed approach to the good and welfare of U.S. business in its totality.
By Morris Beschloss, Special to the Desert Sun
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