China is Moving to Mexico with Jorge Gonzalez Henrichsen
The Logistics of Logistics Podcast
Release Date: 05/10/2023
The Logistics of Logistics Podcast
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info_outlineJorge Gonzalez Henrichsen and Joe Lynch discuss why China is moving to Mexico. Jorge is Co-CEO of The Nearshore Company, where he helps North American, European, and Asian manufacturing companies to successfully establish reliable manufacturing operations in Mexico.
About Jorge Gonzalez Henrichsen
Jorge Gonzalez Henrichsen is Co-CEO of The Nearshore Company, where he helps North American, European, and Asian manufacturing companies to successfully establish reliable manufacturing operations in Mexico, by ensuring quality, certifications, transparency, and continuous improvement. Jorge also has become a leading voice on nearshoring and globalization, contributing insights as an expert source and author to such publications as Forbes, the BBC, Sourcing Journal, Supply & Demand Chain Executive, and FreightWaves. For more than 20 years, Jorge has connected Mexico’s rich financial and industrial resources to companies and individuals the world over. In addition to his current role at The Nearshore Company, Jorge is managing partner of Akazia Capital Partners, an enterprise that acquires and grows middle-market companies. Jorge has a deep background in cross-border investment banking, private equity, and corporate management at companies such as Rothschild, UBS, CMR-Mexico, and Grupo Calidra, that have benefited from his keen business sense and determined approach. Additionally, Jorge has leveraged his insights with students in Mexico, serving as a clinical professor of entrepreneurship for the Instituto Tecnologico Autonomo de Mexico, where he taught an undergraduate course for students majoring in business, economics, and engineering. Jorge holds a B.A. in International Relations from Mexico’s Universidad Iberoamericana, and an MBA from New York University.
About The Nearshore Company
The Nearshore Company is a manufacturing services company that was founded in 1992. With the aim of helping manufacturing companies around the world to launch and/or transfer their operations, The Nearshore Company offers traditional and customized business models that are tailored to the needs and requirements of its customers. Its services range from the "shelter" model, where the company provides real estate, administrative, and legal services while the client manufactures their goods, to "contract manufacturing," where the company manufactures the client's design and specification. The Nearshore Company is known for its flexibility and ability to work across the entire spectrum of manufacturing services. International Assembly LLC (IAI Mexico) is a part of The Nearshore Company, and it helps manufacturers of all sizes to transfer their manufacturing operations into Mexico through traditional and customized nearshoring arrangements. Its facilities are certified and comply with Mexico's legal, environmental, and safety regulations. By manufacturing in Mexico, clients of The Nearshore Company can reduce their operating costs by up to 80%, increase production efficiency, and grow their businesses. Overall, The Nearshore Company offers a range of manufacturing services that are customized to meet the needs of its clients, with a focus on reducing costs, improving efficiency, and helping businesses grow.
Key Takeaways: China is Moving to Mexico
- Jorge Gonzalez Henrichsen is Co-CEO of The Nearshore Company, where he helps North American, European, and Asian manufacturing companies to successfully establish reliable manufacturing operations in Mexico.
- In the podcast interview, Jorge Gonzalez Henrichsen and Joe Lynch discuss why China is moving to Mexico.
- USA based companies are increasingly interested in moving their supply chains from China to Mexico and Latin America.
- The nearshoring trend is driven by several causes including:
- China is no longer the lowest cost country for manufacturing.
- Sustainability – long supply chains produce more green house gases.
- USA tariffs that make China a less attractive place to manufacture.
- Supply chain resiliency concerns that were highlighted by COVID.
- Chinese companies are moving to Mexico so they can keep their USA based customers and expand their reach into the USA and Mexico markets.
- The Nearshore Company provides manufacturing services that are tailored to the needs and requirements of its clients, ranging from the "shelter" model to "contract manufacturing," allowing for maximum flexibility.
- With the assistance of International Assembly LLC (IAI Mexico), The Nearshore Company helps manufacturers of all sizes to transfer their operations into Mexico through traditional and customized nearshoring arrangements.
- The facilities provided by The Nearshore Company and IAI Mexico are certified and comply with Mexico's legal, environmental, and safety regulations, ensuring a high standard of quality.
- Manufacturing in Mexico through The Nearshore Company can result in a reduction of operating costs by up to 80%, allowing businesses to improve their bottom line.
- The Nearshore Company's services are designed to help businesses improve production efficiency and grow their operations, with a focus on providing customized solutions that meet the unique needs of each client.