Mexico’s Nearshoring Moment: Insights from Tecma Group’s Alan Russell

During the Manufacturing & Supply Chain Nearshoring Summit in El Paso, industry veteran Alan Russell, Chairman, CEO, and Co-Founder of the Tecma Group, offered a clear and unfiltered view of why Mexico remains one of the most strategic destinations for global manufacturing investment.

Russell described today’s landscape as “the greatest opportunity in history” for companies shifting production to Mexico. A global realignment—driven by geopolitical shifts, supply chain recalibration, and Pacific Rim manufacturing migration—is pushing firms to relocate operations into North America. For companies serving U.S. demand, Russell emphasized, logistics is destiny:

“If you’re going to supply the largest free market in the world, you’re going to look at Mexico—and specifically at the border.”

Mexico’s northern corridor continues to attract the bulk of new investment thanks to cost-efficient cross-border logistics, integrated supply chains, and proximity to U.S. consumption centers. While some industries with southern-facing clients may explore central or southern Mexico, the current wave of nearshoring is decisively border-driven.

Navigating Complexity Through Experience

Russell stressed that companies new to Mexico must partner with experienced operators who understand the country’s unique regulatory, political, and administrative environment.

“Even if you’ve produced in Europe, Vietnam, China, or Korea—Mexico is different,” he noted. “You have to address government processes head-on to turn challenges into opportunities.”

At the same time, he highlighted a point often overlooked in the nearshoring conversation: labor availability. Beyond competitive wages, Mexico offers a motivated workforce with strong participation from STEM graduates who actively seek advancement through manufacturing careers—an advantage the U.S. currently struggles to match.

Policy Forces That Shape the Region

On the policy front, Russell pointed to U.S. tariffs and reshoring directives as major forces inadvertently pushing production deeper into Mexico, especially as American companies continue facing domestic labor shortages. Meanwhile, Mexico’s own policy shifts—including higher taxes and a strong peso—present new challenges, but they do not erase its competitiveness.

“Costs are rising in both countries,” Russell explained. “The delta remains similar, and Mexico remains a powerful place to do business on a global scale.”

Tecma’s Role: Bringing the ‘Mexico’ Piece of the Equation

Russell also broke down Tecma’s well-known “umbrella model,” a shelter system that simplifies entry for foreign firms by assuming full responsibility for corporate, administrative, and regulatory operations in Mexico.

“Our clients bring three things: equipment, materials, and technology,” he said. “We bring Mexico.”

Through vertically integrated customs services, warehousing, transportation, and factory setup, Tecma absorbs the operational “noise” of establishing in Mexico—allowing manufacturers to focus on production, quality, and growth across the binational corridor.