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UFP Technologies' Rapid Manufacturing Expansion in Tijuana with CPI's Expertise

CPI (Co-Production International) Played a Pivotal Role by Leveraging its Shelter Services Company Program

Welcome to the success story of UFP Technologies' remarkable manufacturing expansion in Tijuana, Mexico, guided by the expertise of CPI (Co-Production International). In this article, we delve into how a renowned medical component and packaging designer, UFP Technologies, set out on a journey to strengthen its presence in the medical market.

Background
Challenge
Solution
Outcome
Testimonials

Background:

UFP Technologies' Quest for Strategic Expansion

UFP Technologies, Inc., a renowned designer and manufacturer of medical components and packaging, headquartered in Newburyport, MA, sought to expand its operations closer to its clientele in the medical market. With a reputation for using specialized foams, films, and plastics, the goal was to provide engineered solutions for its UFP MedTech division.

Challenge:

The Dual Challenge: FDA Compliance and Swift Integration

Finding the right location that would not only cater to UFP's stringent FDA requirements but also facilitate quick setup, hiring, and integration into the local community, all within a tight timeframe.

Solution:

CPI's Crucial Role in Streamlining Expansion

The Shelter Manufacturing Program, tailored to meet the unique needs of UFP Technologies, became the cornerstone of their journey towards an efficient and compliant expansion into new territories. With CPI's guidance and unwavering commitment, UFP Technologies was able to navigate the complexities of international expansion, ensuring a seamless and well-coordinated transition into the Tijuana, Mexico, location.

Mexico Cost Analysis

CPI crafted a meticulous cost analysis, comparing the expenses in the US versus Mexico, covering everything from labor to real estate. This detailed insight showcased the economic advantages of the expansion, emphasizing how a move into Mexico could bolster UFP's bottom line and offer a significant competitive edge.

Site Selection Strategy

CPI provided a comprehensive site selection strategy, assisting UFP Technologies in evaluating the best locations in North America to suit their specific needs.

Industrial Real Estate Support

After evaluating options, CPI provided the necessary industrial real estate support that enabled UFP to pinpoint an 84,000-square-foot built-to-suit option in Tijuana. This site was then customized to their specifications to establish an FDA-registered medical device manufacturing and assembly plant.

Ramp-Up Support

To ensure a seamless transition, CPI assisted in connecting essential utilities, identifying qualified vendors, and coordinated with contractors to ensure timely tenant improvements, including a clean room and other facilities to meet US FDA specifications.

Administrative Services

UFP Technologies integrated swiftly with CPI’s comprehensive suite of admin support. This ranged from handling international trade compliance, obtaining necessary permits, and ensuring environmental health and safety regulations.

Hiring, HR Support, and Payroll Processing

CPI provided end-to-end human resource support, including payroll processing, culminating in the hiring of approximately 150 employees for the new facility, inclusive of a plant manager.

Outcome:

Achieving Breakneck Speed, Supply Chain Excellence, and Expansion Prospects

Remarkable Speed to Market: UFP Technologies went from finalizing the location to on-site production in just 90 days.
Enhanced Supply Chain: Strategically positioned, the new facility is now primed to mitigate healthcare supply chain issues, offering multiple shipping avenues to the U.S.
Opportunities for Expansion: With its state-of-the-art infrastructure, UFP has the potential to serve as a contract manufacturer and assembly hub for other manufacturers in Mexico.

"We chose Tijuana for its proximity to our customers and its established reputation as a medical device manufacturing hub,our state-of-the-art Tijuana medical manufacturing facility provides our customers with a near-shore manufacturing source that meets the high level of quality and innovation that they expect from UFP MedTech...”

"U.S. and global manufacturers invest in Mexico-based facilities to reduce shipping times, labor costs, and supply chain obstacles,for UFP Technologies, we helped them ramp up and launch very quickly. We now manage day-to-day administrative duties, which allows UFP to focus entirely on their medical market customers...”

"As a shelter services provider, we are delighted to serve the needs of our client partners like UFP Technologies, CPI attends to every detail of manufacturing expansion projects as if it were our own company. At CPI, our team becomes your team....”

In an ever-evolving global landscape, the synergy between UFP Technologies and CPI exemplifies the power of strategic alliances. With a shared vision and CPI's unparalleled expertise in the Mexican industrial realm, UFP Technologies has anchored itself firmly within a new market, ready to face future challenges and seize emerging opportunities. This alliance serves as a beacon for companies worldwide, emphasizing the importance of choosing the right partners in their journey of growth and innovation.

Learn More:

For additional information, please reach out to Denisse Martinez at CPI Marketing: denissem@co-production.net or call (619) 429-4344 Ext. 231.

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CPI's Manufacturing Facility Setup and Aspen Medical VP Interview – Download Case Study!

CPI managed the entire establishment process for the new manufacturing facility, which became operational in September 2015. Exploring Insights from John Hamilton, Vice President of Strategic Initiatives for Aspen Medical. Access the Case Study for Details.

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