Ally shoring: Expanding manufacturing operations into Mexico
Alberto Villarreal, founder and managing director of Nepanoa, explains 'ally shoring'—expanding US manufacturing operations into Mexico and Latin America—as a strategic alternative to offshoring to Asia. He outlines key benefits including 50% labor cost reductions, USMCA legal protections, and shared time zones, while noting that over 75% of Fortune 1000 companies already operate in Mexico. Villarreal details the expansion process, from defining strategic intent to navigating financing barriers and workforce demographics, citing success stories like Solar Plastics and a Dallas-based plastic assembler who relocated from China.