ECONOMIC DEVELOPMENT FOUNDATION
NOGALES-SANTA CRUZ COUNTY
GREATER NOGALES, A MULTI-CULTURAL TRADE HUB FOR MANUFACTURED GOODS AND PRODUCE.
Nogales is Arizona’s gateway for international trade, with more than $26 billion of imports and exports, close to 300,000 trucks, 450,000 pedestrians and over 1.2 million cars annually.
ADVANTAGES OF AMBOS NOGALES MANUFACTURING
As manufacturers seek a higher level of competitive advantage, they see Ambos Nogales or “both” Nogales—Nogales, Arizona, USA, and Nogales, Sonora, Mexico—rapidly becoming the center of aggressive near-shoring. The region is attractive because of its ‘twin city' cross-border connections combined with its ‘twin plant’ manufacturing program—the maquiladora or maquila system. Together, these favorably entwined cross-border communities provide the advantage manufacturers seek. Protection of intellectual property rights and accessibility to corporate engineers are only a few of the advantages of being located in Northern Mexico. Read More…
NOGALES: THE GATEWAY FOR PRODUCE
Nogales, Arizona has the highest tonnage of fresh product entering the U.S. with $2.5 billion worth of Mexican produce crossing through annually. Innovations and strengths in Nogales, Arizona's “cold chain” support the fresh produce industry including food safety, quality control, warehousing, packaging, distribution and customer focus.
LOW COST OF BUSINESS
The strategic location of Nogales allows companies on both sides of the border to enjoy the benefits of lower operating, labor, transportation and distribution costs. Average manufacturing costs in Mexico are now almost 20 percent lower than in China. (Stratfor, 2015), and hourly wages in Mexico in dollar terms are now 40 per cent lower than in China. In addition, Santa Cruz County, Arizona's FTZ 60 is a powerful mechanism for reduction of inventory cost at the border. Read More…
LOGISTICS & SUPPLY CHAIN EXPERTISE
With a long history in logistics and supply chain services and a growing number of companies here, Nogales provides specialized services, experienced workforce, and public infrastructure. This logistics and supply chain hub offers a concentrated set of services to support the maquila and produce industries. The unique and differentiated combinations of service functions—suppliers, associations and specialized support services in a tight geographic cluster—yield a competitive regional capability that is largely unmatched along the Mexican border. Read More…