Packaging Consumer Electronics in Mexico

March 14, 2013

With Mexico’s new government in full swing, Mexico manufacturing can certainly be considered a hot topic. Packaging consumer electronics in Mexico is one area that continues to see significant growth. With several other industries continuously growing (including, but not limited to: automotive, aerospace, and medical devices), Mexico is proving to stay on track by engaging manufacturers around the world to consider this profitable strategy.

Many consumer electronic and accessory manufacturers are finding that even if they continue to manufacture components overseas, it makes more sense to ship their products in bulk to Mexico for assembly, packaging and distribution.  The primary benefits are a significant reduction in shipping costs and the ability to react quickly to consumer demand.  While this strategy is a good start, there is evidence that manufacturing the entire product in Mexico is clearly the next step.

North American Production Sharing Inc.,(NAPS) is the leading outsourced administration and compliance management company in Mexico with over 50 factories and 6,000 employees under management and they are on the front line of this historic movement to Mexico. “We are experiencing record growth and a tremendous volume of interest from companies who want to move away from China and manufacture in Mexico,” said Scott Stanley, Sr. Vice President of NAPS. “This phenomenon is happening across all industries and sectors, from consumer products to kitchen appliances.  Some of our clients are seeing transportation costs drop as much as 70% by simply packaging in Mexico.” NAPS helps companies expand to Mexico by running 100% of their administration and compliance management so the company can focus on production and quality control.

Manufacturing in Mexico is a way for companies to expand their global footprint and service both North and South America. The Mexican government is working diligently to support the growth throughout the country by expanding its infrastructure projects and continuing its historic effort to reduce taxes and duties for foreign companies operating in Mexico.