Rob Osgood • September 27, 2021
Last updated on May 15th, 2025
In the dynamic global landscape we are currently in, manufacturers are increasingly analyzing and re-evaluating their supply chain strategies. Oftentimes, these companies are moving toward nearshoring or reshoring manufacturing to reap the benefits that come with moving processes closer to or within the United States.
Are you currently considering reshoring, or trying to learn more about it? Read our post to explore the benefits of reshoring manufacturing and walk away with a greater understanding of whether it’s ideal for you.
What Is Reshoring?
What exactly does reshoring mean? Reshoring involves relocating the production and manufacturing of goods back to a company’s home country. It’s also known as onshoring, inshoring, or backshoring. This practice began to gain momentum during the COVID-19 pandemic and the trend continues to grow steadily.
Are You the Right Candidate for Reshoring?
More than likely your organization has already started the evaluation process of your offshore supply chain. Some helpful questions to consider when evaluating if your product is a good candidate for reshoring include the following.
Your product has one or more of the following characteristics:
- High per-unit shipping cost (product does not pack densely)
- Stringent quality requirements
- Annual volumes above 10,000 units
- Desire for parts to be kitted, sequenced, or provided JIT
- Multiyear production requirements
- Large form factor injection molded parts that are fulfilled in North America
AdvancTEK specializes in manufacturing medium to large rigid plastic and composite parts. These are often more costly to ship because you’re shipping a lot of air in the boxes if parts do not nest well. Manufacturing these larger components, especially in higher volumes (~10K – 100K+), closer to home can quickly add up to significant cost savings.
That said, very small, commodity-type components are sometimes better suited for overseas production. We acknowledge this and strategically focus on the larger parts.
You or your customer needs one or more of the following:
- Quicker lead times to fulfill unexpected sales orders
- Flexibility to order small and large lots, as needed
- Assurance that products hitting your dock meet all quality expectations
- On-site technical support for purchased products
- Increased product or brand value from a “Made in the USA” or “Buy America” requirements
Our engineering team is adept at thoroughly evaluating the feasibility of transferring customer-owned tools and production. We conduct detailed assessments to identify potential risks and necessary modifications, ensuring a seamless transition that meets AdvancTEK’s rigorous standards.
With our focus on speed and precision, we assign a dedicated program manager to oversee your project, ensuring your objectives are met efficiently and effectively while you get all of the reshoring benefits.
You want to eliminate the risk of:
- Increased import tariffs from China or other regions
- Currency exchange rate fluctuations
- Paying for products before you’ve inspected them
- Dramatically increasing labor rates in Asia
- Strikes at U.S. ports or international ports
- Product liabilities expenses your supplier will not pay for
In the past year, many OEMs have faced unprecedented challenges with supply continuity and risk mitigation in their global supply chains. AdvancTEK recognizes that the current environment makes North America a highly attractive nearshoring or reshoring manufacturing destination. Our advanced local manufacturing methods empower customers to achieve significant competitive advantages without the uncertainties of distant supply networks.
Don’t Fall Behind Your Competitors or the Market
A Bain & Company study showed that 81% of CEOs and COOs surveyed have plans to bring supply chains closer to market (an 18% increase from 2022). Notable companies that are investigating reshoring or nearshoring initiatives include GM, GE, Walmart, Honeywell, and Whirlpool.
Reshoring Manufacturing Comes with Many Benefits
- Shorter lead times – One of the main reshoring benefits is that the products that are manufactured closer to the final ship point allow for a shorter lead time and more flexibility with order changes and fluctuations. This also allows more timely product replacement should there be quality or scrap issues.
- Lower cost – With rising tariffs, many companies are re-evaluating the true landed cost of products from outside of the U.S. AdvancTEK is backed by CVG’s purchasing power and can offer competitive solutions in the U.S.
- Great support– There is a level of comfort and service that can only be met by having your products manufactured locally. We are happy to host customer visits at any time to review production of their products, brainstorm continuous improvement ideas, and more. The face-to-face engagement at the site of production is often undervalued and can deepen relationships.
- Reduced risk – Often referred to as supply chain resilience, having products made closer to home reduces risk in the supply chain. We can adapt more quickly to changes, address issues earlier, and be onsite quickly, all examples of the many reshoring benefits.
- Smaller environmental impact – Reducing the travel distance for transporting goods reduces the environmental impact associated with your supply chain. Many OEMs we work with have sustainability goals in which the carbon footprint and CO2 emissions associated with their freight play a key factor in their decision-making process.
AdvancTEK Is Your Reshoring or Nearshoring Partner for Injected Molded Parts
Nearshoring and reshoring are strategic approaches that AdvancTEK leverages to optimize the supply chain for our clients. Nearshoring involves relocating production to a nearby country, while reshoring brings manufacturing back to the company’s home country. With facilities in both the U.S. and Mexico, AdvancTEK is uniquely positioned to offer flexible solutions that enhance production resilience and efficiency in North America.
Our experienced Tooling and Engineering Project Management Team guides clients through every stage of product development, including methodical tool builds, faster T1 samples, and comprehensive tool qualification. We prioritize rapid, scalable solutions that help customers quickly adapt to evolving market demands by utilizing skilled local resources.
Recently, there has been a surge in companies seeking AdvancTEK’s expertise to transition tooling away from current suppliers or to diversify production sources. Ongoing supply chain volatility and material shortages have made these transitions increasingly urgent.
Reasons to Choose AdvancTEK for Reshoring Manufacturing
At AdvancTEK, we have a team of engineers that can help evaluate the feasibility of moving your production operations to a closer facility. We can assess tooling fit with our equipment to identify as many possible modification costs early in the process and we can review tooling specifications to ensure they meet AdvancTEK’s high standards. We are known for our ability to react quickly and turn around expedited program launches to meet customer goals, and you’ll have a dedicated program manager assigned to your project to ensure this.
Additional benefits of working with us for reshoring your manufacturing efforts include:
- Multiple facilities for sourcing – We have reshoring manufacturing options available in both the U.S. and Mexico. Even before the Trump administration’s tariffs, many companies have been establishing production in Mexico, especially in the Monterrey and Saltillo region where we have a six-building campus of manufacturing facilities. If Mexico isn’t a fit, our North Carolina or Virginia locations are also a great option.
- Skilled engineers – We have a team of engineers ready to assist you in the process of nearshoring or reshoring by evaluating tool designs to ensure fit and quality if production is transferred, providing any feedback on manufacturability or quality issues that you may be experiencing that we could improve. Whether you need thermoforming, injection molding, or a different service, you will get a dedicated program manager to lead the charge and launch the program to make the transition as smooth as possible.
- Local operations – We are headquartered in the U.S. and have sales, purchasing, program management, engineering, quality, and operations support and leadership in North America. Ultimately, AdvancTEK is just a short trip away from you, which makes shipping and communication a lot easier. So not only will you get all of the reshoring benefits, but you will also have a dedicated partner that is close by.
- Extensive resources and experience – Being part of CVG’s global portfolio of businesses, we have resources in 10 different countries including those in North America, EMEA, and APAC. We have global freight support and local knowledge to help assist in reshoring We evaluate the global supply chain just like our customers may be doing and our experience in this area does not go unnoticed by current or new customers.
Ready to Start Your Onshoring Initiative? AdvancTEK Can Assist!
AdvancTEK’s proven track record includes the successful transfer of numerous tools over the past two decades, each completed with minimal disruption and seamless integration. Our robust infrastructure and dedicated support ensure a smooth and reliable transition process for every client.
If you’re ready to work with a reshoring manufacturing partner, be sure to contact us today.
