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NEARSHORING YOUR SUPPLY CHAIN TO MEXICO

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The nearshoring phenomenon often refers to the trend of companies moving their production or service activities to places that are closer to their home market, often in the same or neighboring time zone. Nearshoring is often driven by several factors, including rising labor costs in traditional offshore locations, as well as geopolitical risks and challenges associated with managing supply chains across multiple time zones and cultures. Additionally, nearshoring can offer advantages such as shorter lead times, faster delivery, and increased flexibility. This helps companies respond to changing market demands and trends.

Companies are pushing hard to build resilience into their supply chains via a post-pandemic regionalization trend. Moving production closer to home is a way to mitigate some of those risks. The benefits to North America make it a welcome trend.

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