The New Math Behind Mexico and U.S. Manufacturing Decisions

The resurgence of manufacturing across North America is creating a new kind of complexity for companies evaluating sites. Reshoring and nearshoring are no longer abstract strategic concepts—they are active, time-sensitive decisions influenced by policy and resulting in wage inflation, energy demands, and a dwindling supply of viable real estate.

Manufacturers are now forced to make tradeoffs between lower-cost labor and rising labor strain, between faster timelines and infrastructure limitations, between regions that once felt like defaults and markets that now require hard second looks. One of the most frequent conversations we have with clients today revolves around the U.S.-Mexico tradeoffs. And the answer is more complicated than ever.

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