Manufacturing Migration From Asia to Americas - Lectra
Global manufacturers, led by insights from Lectra, are realigning their operations closer to American markets for better efficiency and control.
Global manufacturers are increasingly favoring the Americas over Asia when considering the cost and risk profiles of their supply chains. Observing this trend, Lectra, an industrial intelligence solutions provider, notes that brands aim to be closer to their North American consumers. An illustrative case is that of Mexico City-based Preslow. Once heavily reliant on Asian manufacturing, Preslow is now shifting production back to Mexico. Before 2020, Preslow manufactured 40% of its outerwear overseas; this has now shrunk to 20%. The proximity to end markets, as Lectra points out, not only saves costs but also provides the advantage of production flexibility. To cater to this shift, Lectra opened a new production facility in Tolland, Connecticut.
Who is the next China, the future of low cost, high quality manufacturing? India (for Asia/Europe/AUS markets) and Mexico (for the Americas markets).— StartShare.app (@startshareapp) July 22, 2023