The European Magazine 2019
As published in The European Magazine
Entrada Group’s Two Newest Clients look to Mexico Manufacturing to Drive Growth Ambitions
(Austin, TX) – For US-based manufacturers Advantage Components Inc. (ACI) and Lumitex, a first-time Mexico manufacturing footprint fulfills many essential requirements: expanded production capacity, cost-competitive operations, access to an abundant labour pool (including skilled and technical workers), and proximity to customers, both existing and future. Above all else, both companies anticipate new growth opportunities in Mexico.
Entrada Group, which for two decades has been guiding foreign manufacturers in establishing and running their own Mexico operations to enhance global competitiveness, announces that ACI and Lumitex have signed four-year agreements for strategic manufacturing support (General and Administrative) services, with production at Entrada’s two manufacturing campuses in Zacatecas and Guanajuato, Mexico, respectively. ACI and Lumitex join Entrada’s client base, comprised of more than 25 manufacturers from the US, Canada and Asia over the past 15 years.
Diverse Manufacturing Campuses, Common Goals
ACI (an Illinois-headquartered producer of electrical components) builds, tests and ships cables, electronic assemblies and custom plastic injection-molded components. The company produces wire and cable assemblies and sensors for customers worldwide in numerous sectors, including agriculture, environmental, medical and off-road. At launch, ACI will occupy approximately 13,000 sq. ft. in Entrada’s manufacturing campus in Fresnillo, Zacatecas, which Entrada has called home for the past 16 years. Currently, Entrada’s clients occupy over one million sq. ft. of manufacturing space in Zacatecas.
Lumitex (a world-class lighting technology integrator based in Ohio) designs and develops innovative lighting systems for customers from highly regulated markets worldwide, such as medical device, phototherapy, automotive, and aerospace. Lumitex will add Mexico production to existing operations in the US and Taiwan. On launch, Lumitex will occupy about 22,000 sq. ft. in Entrada’s Celaya, Guanajuato manufacturing campus, which began operations in 2017.
While Entrada’s two newest clients chose different locations, the companies are motivated by forward-looking management with ambitious growth goals, according to Doug Donahue, Entrada’s V.P. of Business Development. “ACI’s domestic operations are near full capacity and ownership wants to proactively grow their business with a cost-competitive production location that not only enables increased capacity, but also positions the company to solicit new customers in the region,” he said.
“Similarly, Lumitex sees Mexico as an essential part of its future expansion,” he continued. “The company needs to be in a high-growth area like Celaya, one of Mexico’s fastest-maturing manufacturing centers. Celaya offers Lumitex access to more sophisticated processes and skilled labor, which helps it diversify its product range for new clients.”
“We are pleased ACI and Lumitex chose Entrada Group’s manufacturing support platform as a foundational element for their long-term growth. If their experience matches what our clients typically encounter in Mexico, both should be expanding their footprint and headcount in coming years,” Donahue added.
About Entrada Group
Entrada Group guides international manufacturers in establishing and running their own Mexico production. Our manufacturing support platform, staffed by the experts at our Mexico manufacturing campuses, assumes responsibility for all your general and administrative services, reducing cost and risk, and generating long-term growth.
For more on different options for Mexico Manufacturing, access our Routes to Mexico whitepaper.