How A Mexican OEM Appliance Manufacturer Turned A Supply Chain Crisis Into A Nearshoring Opportunity For US Brands

As global shipping costs surged and delivery timelines stretched thin, U.S. manufacturers and retailers found themselves at a crossroads. For many, the once-reliable flow of goods from an eastern country had turned into a logistical headache, riddled with delays and escalating expenses.

The COVID-19 pandemic shattered the illusion of supply chain stability, and the ripple effects continue today. Freight costs, particularly for large items like home appliances, have at times eclipsed the cost of the products themselves. Retailers were left with few options: pass those costs to consumers, accept shrinking margins, or rethink how and where their products are made.

"We're seeing a possibility of a similar chaos to 2020," says MEXIPC CEO . "The rising geopolitical trade tensions have led to supply chain instability, meaning companies are forced to realign their sourcing to remain competitive."

It's a difficult pill to swallow, especially as consumers expect reliability and affordability – demands that are increasingly difficult to meet when manufacturing and shipping rely on sources that stretch halfway around the world.

That is why MEXIPC, a Mexican OEM/ODM appliance manufacturer, has taken strategic steps. Based in Mexico and just a few hours' drive from the U.S. border, MEXIPC specializes in producing electrical home appliances for major brands. But what sets the company apart isn't just its proximity; it's its proactive, future-forward response to the very supply chain crisis that had paralyzed so many others.

"When the freight crisis hit during COVID, we were distributing appliances under our own brand across Mexico," the CEO states. "Shipping costs skyrocketed. The freight cost per washing machine nearly matched the price of the product. At that point, we had two choices: either exit the category or build something better. We chose the second path."

That 'something better' is a fully operational, vertically integrated factory, designed to survive any supply chain disruption and positively thrive within it.

MEXIPC's facility includes in-house plastic injection molding, allowing them to manufacture appliance housings and components internally. This investment gives them end-to-end control over quality, timelines, and cost – three pillars U.S. clients are now desperate to secure. "Injection molding is a big investment," shares Funes. "But having that capability in-house means we don't rely on third parties. That's how you prevent delays, avoid quality issues, and stay in the driver's seat when markets shift."

Their strategic location compounds those benefits. By operating within driving distance of the U.S., MEXIPC reduces lead times drastically, compared to imports from eastern countries. U.S. clients no longer need to plan purchases six months out, lock cash flows, or wait for ocean freight to navigate clogged ports. Instead, they can work with MEXIPC for just-in-time manufacturing that responds to real-time demand.

MEXIPC is not just audit-ready; it's audit-approved with Sedex, SCAN, and FCCA Audit. The factory meets all requirements for key U.S. clients, including social responsibility, security, and operational audits that are often prerequisites for selling through major retailers. "For a lot of suppliers, those audits take years to pass. It's not just paperwork; it's your layout, your labor compliance, your safety systems," Funes explains. "We've done all that. So when a brand is ready, we're ready."

This turnkey approach has already proven attractive. Since June 2022, MEXIPC has been working with leading U.S. customers, starting with OEM/ODM manufacturing. Now, with policy pressures mounting, customers are expanding their businesses with MEXIPC.

While many companies are scrambling to relocate operations to Mexico amid geopolitical tensions, Funes cautions that success in the region takes more than proximity. "Setting up a factory in Mexico is not easy," he says. "You have to understand the labor laws, the business culture, and the supply chain. We've been in this space since 2012, and we've grown by knowing both the culture and the category."

That experience shows. MEXIPC's team is entirely Mexican-based, and the company's knowledge of local labor compliance, supplier development, and logistics infrastructure gives it a major edge. That is why, rather than outsourcing packaging and secondary components, the company invests in its own packaging capabilities while deepening relationships with local suppliers in Mexico. Its strategic decision-making has given the company the strength to remain stable. Funes further confirms, "By controlling more of our supply chain and staying rooted in Mexico, we insulate ourselves and our clients from global volatility."

MEXIPC's leadership team, all residents of Mexico, brings a nuanced understanding of the local business and regulatory environment, giving the company an edge in navigating challenges that would trip up less experienced operators.

Soon, the company will expand into new product categories, building on its foundation in appliances to offer even broader solutions to partners seeking to localize and stabilize their product lines.

"Supply chains will always face challenges. But challenges don't always have to mean disaster. They can mean opportunity. That's what we've built MEXIPC on, always turning challenge into advantage," Funes concludes.