Furniture Manufacturing in Mexico
When most people think of the foreign companies that have moved their manufacturing processes to Mexico, the consumer electronics, automotive and aerospace sectors may be the first to come to mind. All of these industries are thriving in the country as Mexico has made a strong commitment to raising the technical aptitude of its citizens to better assist them in holding jobs in sectors where attention to detail and product quality is paramount.
However, Mexico is also becoming a major player in the furniture industry, as a number of companies have moved parts of their manufacturing operations to the country. The U.S. is one of Mexico’s biggest furniture export markets. According to Trading Economics, in September of 2014, Mexico exported approximately $839,000 in finished products to the U.S. This is an increase over the $824,673 in products in August of the same year. Many of these include high quality home and office furnishings such as bookcases and wooden bedroom furniture.
In addition to being a better logistical option when shipping finished products back to the U.S. or Canada, Mexico is also ideal for furniture manufacturers looking to keep overhead costs low while simultaneously mitigating any issues related to the supply chain.
In 2014, Seahawk Designs, a furniture company based in the U.S. specializing in stowaway beds, began using two facilities located in Tecate, Mexico, to manufacture its products, according to a report from Furniture World. The company will utilize a 20,000-square-foot factory to make upholstery and a 45,000-square-foot plant which will manufacture the beds themselves.
William Jahn, who serves as CEO of Seahawk Designs, said that he chose Mexico as his company’s offshoring destination because he was impressed with the efficient way that products are made in the country while providing the organization with better customization and delivery options that will improve the relationship it has with its current customer base.
This opinion is shared by many decision-makers who ultimately choose to establish a presence in Mexico and is one of the key reasons why the country will continue to compete with China for offshoring business.