5 Countries To Consider when Moving Your manufacturing Overseas

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Ever since Nixon opened China to the rest of the world, China has been the #1 country regarding overseas manufacturing.  Lately, various global issues, whether that include the tariffs levied on China or their human rights issues,  may have you looking at alternative manufacturing countries. Perhaps the shipping container problems have you looking to other countries that can fit your manufacturing needs.

Here are five countries that are either established or on the rise, as prominent global manufacturers for your company:

Mexico

ITI Manufacturing overseas manufacturing in Mexico

In 2016, Deloitte stated that Mexico could become the global manufacturing nerve center if the country ever played its cards right, effectively making them the next China.  Mexico’s overall manufacturing is currently ranked 55th out of 131 countries. Mexico is currently ranked second among Latin American countries (Chile is #1).  Mexico is ninth in high-tech imports. Those imports include integrated circuits and vehicle parts.  According to the Global Manufacturing Competitiveness Index (GMCI), Mexico is number eight out of 40, edging out Canada, Sweden, and Vietnam.   Out of all the countries on this list, Mexico is the closest and has low labor costs with a skilled workforce.  Mexico is also open to foreign investment with open trade agreements and a growing domestic market.  

South Korea

ITI Manufacturing overseas manufacturing in South Korea

South Korea is another country rising, and rising fast, in the global manufacturing system.  In July 2020, the United Nations Industrial Development Agency (UNIDO) publicized its Manufacturing Competitiveness Index (CIP) and ranked South Korea third out of 152, behind China and Germany.  This overseas manufacturing competitiveness has pushed South Korea ahead of the United States and Japan for the first time in South Korean history with exports including OLEDs, environment-friendly cars, system semiconductors, and virus detection kits.

Vietnam

ITI Manufacturing overseas manufacturing in Vietnam

According to DHL, Vietnam is another fast-rising star on the global manufacturing stage.  Vietnam is currently ranked 38th out of 169 countries. One reason it is ranked so high, and climbing, is because of its ability to bounce back so quickly during the Covid-19 pandemic.  Vietnam is very welcoming to manufacturers looking to shift away from China.   Much like China, Vietnam is a manufacturer of electronics.  According to the Vietnamese government, Foxconn, Apple’s supplier, recently approved a $270 million plant and has invested $1.5 billion in Vietnam. 

Brazil

ITI Manufacturing overseas in Brazil

Brazil offers a variety of positives when it comes to overseas manufacturing.  They are the third largest manufacturing sector in the Americas.  Brazil’s manufactured products include textiles, cement, machinery and equipment, and shoes.  Brazil also has nearly 700 airports with paved runways that can handle the large cargo planes needed to move freight worldwide quickly. 

Germany

ITI in Germany

Germany is a country that is consistently in the top five when discussing overseas manufacturing. Forbes ranked them #1 in terms of overall quality.  Germany is ranked fourth overall in terms of manufacturing output by manufacturingdigital.com.  Germany’s main exports include cars and car parts, medical instruments, and electronics.

Overseas Manufacturing and ITI Manufacturing

When you decide to work with a manufacturing company, you want to work with someone reliable. Here at ITI Manufacturing, we take pride in providing our customers with excellent service. Our value proposition provides detailed, real-time visibility and transparency that enables proactive production planning, inventory management, and shipment scheduling. The visibility and follow-up begin as soon as we engage with you. Then, we keep you up to date until you take possession. If an issue arises, we are intentional about immediately acknowledging the problem and working to resolve that issue to your satisfaction as quickly as possible. ITI Manufacturing continues the time-consuming and involved task of investigating other manufacturing countries. 

Interested in researching China-alternative countries,

Contact Us or Call To Schedule a Consultation

Writer’s Note: This blog was written to discuss the established manufacturing details of the following countries. It is not a study of the current Russian attack on Ukraine or the near or long-term impact. The reality is no one knows what the short or long-term ramifications will be or even when or if the world as we knew it before COVID will return. 

We are intently watching the situation and the impact on the countries we are manufacturing. We are doing what we can to maintain quality, project advancement, consistency, timely communication, and intentional issue resolution on behalf of our customers.

Manufacturing Overseas can be Simplified and Cost Effective

Simplify it with ITI Manufacturing

Manufacturing Overseas can be Simplified and Cost Effective

Simplify it with ITI Manufacturing

Rebecca Wells,

National Accounts Manager

Rebecca Wells joined the ITI team in 2021 as a National Account Manager. Rebecca has over 25 years of experience with customer relations and retention as a Project Manager, National Account Manager, and Sales Manager in the Packaging and Retail Industries. She is a Michigan native but considers herself a Texan after calling Houston home for over 15 years. Rebecca enjoys staying active with her family playing tennis and running on the weekends.