Mexico vs. China. Which is the Better Plant Location?

The question of whether Mexico is a better place to manufacture a product versus China seems to come up frequently.  A recent Los Angeles Times article combined with my experiences in closing a USA plant and building a new plant in Shanghai are the sources for the following: Since 2000, the 3,700 Mexican Maquiladoras have […]

Outsourcing from China – Avoiding this Horror Story

A recent article in Manufacturing News described the outsourcing horror story that has engulfed Fellowes Inc. The large paper shredder manufacturer has suffered a significant loss in China. A Chinese joint venture partner stole Fellowes Inc.’s proprietary assets and forced the operation into bankruptcy. The estimated cost is valued at a $100 million. Now the […]

Can Manufacturing Return to the USA?

The need to move USA manufacturing operations to competitive economic climates, has been essential for a Company’s survival.  This exodus to a number of foreign countries, mainly to China and Mexico, has had a negative impact on the USA – its economy, median incomes, standards of living. Today, New Balance Inc. is a rather unique […]

China to surpass USA as World Leader in manufacturing?

The headline in a June 2010 Financial Times article was bothersome. It chronicled “US Manufacturing Crown Slips”. In summary, the article reported: “The US remained the world’s biggest manufacturing nation by output last year, but is poised to relinquish this slot in 2011 to China – thus ending a 110-year run as the number one country […]

Where is China Heading?

Mark Leonard’s book “What Does China Think?” presents China’s challenges and struggles with some surprising priorities its leaders have set to correct them. For the first time in China’s history its 11th five-year plan does not list economic growth as its first priority. The plan: “put people first”…“respecting the natural environment”…introduces a Scandinavian model of social welfare […]

China’s Achilles’ heel – Obstacles to Low Cost

Several issues negative to China as a solid, long-term base for low-cost manufacturing are becoming apparent: Efficiency & Productivity: A company I’m working on is in the process of acquiring a China based digital electronics manufacturing company.  In the search for an acquisition candidate, I visited twenty-four manufacturing companies.  A large number of them were […]

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Robert Amter
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bob@robertamter.com