The Manufacturing Reshoring
initiative for South Texas was formally launched at an event hosted by The
University of Texas Rio Grande Valley (UTRGV) this past January. The initiative
was developed by a consortium that includes UTRGV, the United States Mexico
Foundation for Science (USMFS), McAllen Economic Development Corporation
(MEDC); I-Dream4D and The Texas Manufacturing Assistance Center (TMAC). Funding
from the U.S. Economic Development Administration EDA is financing this project
which seeks to identify and promote the growth of existing regional suppliers
in South Texas and North Mexico to attract new investment and fill gaps in the
supply chain.
Keith Patridge, President and CEO of
MEDC and Chairman of the Board of USMFS believes this initiative will encourage
the growth of existing suppliers in that region which will lead to job
creation, commercial expansion and increased productivity of companies. One of
the main barriers for foreign manufacturers to establish operations in the
region is the difficulty in identifying available suppliers who can supply
parts and raw materials with the desired quality or in the required quantity
and at the same time, desired cost level to maintain its global business
competitiveness.
At the launch event, Patridge
explained that one goal of this project is to support companies interested in
moving their manufacturing to North America and the South Texas border region. The data collection phase will also help to
identify the training programs that the local workforce will need.
For his part, David Ortiz, Regional
Director of TMAC at UTRGV, explained that this project will be carried out in several
phases. In Phase one, the team will
perform a detailed asset mapping of the South Texas border region with a focus
on small and medium manufacturers, collecting data on machines, technicians,
products, raw materials, processes and capacity. The data collected will
indicate the trends and processes needed to help the region become competitive
and develop a supplier training program to prepare small manufacturers and help
them qualify as a supplier to a selected industry sector as well as prepare
them for certification and trade compliance.
Eugenio Marín, CEO of USMFS in Mexico,
highlighted the importance of working together to strengthen competitiveness on
both sides of the border and build resilience in the supply chain. He pointed
out that these opportunities are mainly in industries such as electronics, home
appliances, aerospace, automotive, military equipment and medical devices.
