Best Practices for Reshoring and Nearshoring

In recent years, more manufacturers have shifted away from relying solely on Asian suppliers.

Rising freight costs, tariffs, long lead times, and supply chain uncertainty have made reshoring manufacturing and nearshoring to Mexico a smart strategy for many companies. 

But for procurement teams that have spent years focused on low-cost country sourcing, finding suppliers in Mexico or conducting effective U.S. supplier identification can be challenging.

Over the past two years, APD’s Rapid Reshoring process has helped manufacturers in 20+ categories—from castings to injection moldings—quickly identify and qualify capable suppliers in the U.S., Mexico, and Canada. 

Here’s what works. 

1. Start with an Ideal Supplier Profile 

One of the biggest mistakes in reshoring is skipping the step of consolidating requirements across stakeholders.

Engineering, quality, and purchasing teams often have different priorities, which can lead to wasted time pursuing suppliers who aren’t a fit. 
 
An Ideal Supplier Profile captures the 15–20 attributes that define a perfect supplier for a given category—covering everything from quality certifications to capacity and finishing capabilities.

Define both “ideal” and “minimum acceptable” criteria, and confirm them with all stakeholders before supplier outreach begins. 
 
This clarity lets you filter out poor fits quickly and focus on suppliers who can deliver. 

2. Use Networks First, Search Engines Second 

Google searches or chatbot queries can surface some potential suppliers, but most capable North American suppliers—especially smaller Mexican manufacturers—aren’t heavily marketing online. 

• Internal colleagues in purchasing, engineering, and quality 
• Former employees and LinkedIn contacts 
• Independent commodity experts with decades of sourcing experience

In one project, APD found 15 potential suppliers for a complex 3-layer painting process in days by leveraging industry networks. Five turned out to be strong matches, all with open capacity. 

3. Lead with a Mini-Business Case 

In today’s market, many U.S. and Mexican suppliers are running near capacity. They’re selective about new business. Sending a cold RFQ often leads to silence. 

• Who you are and what you make 
• Your company’s size, growth, and customer base 
• The long-term partnership potential

This shows you’re offering a strategic opportunity, not just a one-off order. 

4. Match Supplier Size to Your Program 

A supplier that’s too large may not value your business; one that’s too small may struggle to scale.

Match supplier size, capacity, and strategic direction to your initial and future needs. 

When a manufacturer needed small-to-medium fabrication volumes, targeting mid-sized suppliers ($10–50M annual revenue) delivered the best fit—enough resources to meet requirements, but small enough to prioritize the business. 

5. Follow a Structured Process 

1. Define Requirements – Build Ideal Supplier Profiles and mini-business cases. 
2. Identify and Qualify – Use networks, targeted searches, and preliminary interviews. 
3. Engage and Select – Conduct technical interviews, facility visits, and introductions. 

This disciplined approach consistently delivers 3–4 vetted suppliers per category in just 4–5 weeks. 

6. Always Verify Capacity 

Technical capability isn’t enough—open capacity is essential. Many suppliers can meet your requirements on paper but are booked solid. Make capacity confirmation part of the vetting process. 

Reshoring manufacturing and nearshoring to Mexico can shorten lead times, reduce risk, and improve total cost of ownership—but only if the supplier search is handled strategically.

By combining clear requirements, network-driven identification, and a disciplined qualification process, companies can move faster, avoid common pitfalls, and build long-term partnerships with capable suppliers.

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