• Company: LMI Aerospace, Inc.
  • Established: 1948
  • Headquarters: St. Charles, Missouri, U.S.A.
  • Industry: Aerospace
  • Distribution: Worldwide
  • Established Mexican Operations: 2006

Why Mexico?

LMI Aerospace, a well-established aerospace components provider servicing the large commercial jet market, was feeling pricing pressure in the early 2000’s. In order to stay globally competitive, they started to look at alternative manufacturing locations. After considering Asia and China, they realized that they would feel more comfortable with a facility closer to home and after touring the expansive Gultstream Mexican facility, Mexico became the leading choice. Being on the border with easy access between Mexico and the U.S. was also an important criteria.

Why IVEMSA?

After having ruled out Tijuana and Juarez, LMI decided to focus on Mexicali, just across the border from the California Imperial County city of Calexico. They started by looking into industrial parks for potential sites, but after learning about the benefits offered by shelter companies, decided to further research shelters. IVEMSA quickly became the leading shelter provider contender and began to work with them setting up governmental meetings and facilities searches. “Once we started talking to IVEMSA, we realized we were very comfortable with their team and, didn’t feel the need to look any further,” said Brad Nelson, Plant Manager of Mexicali LMI Aerospace facility. “They were with us every step of the way and made the set up easy.”

Results

LMI successfully opened a 23,000 sq. ft. facility in Mexicali in 2006. They have cut manufacturing costs, and with the recession in aerospace abating, are looking at growing their Mexicali operation. They are very satisfied with the labor pool and pleased to have a significant number of longer term employees. They advise any company looking into nearshore operations to stay focused on what they do and what it takes to be profitable, and allow a shelter company to handle the day-to-day administrative services. “We have no intention of moving away from shelter services,” stated Nelson. “IVEMSA is helping us accomplish our goals.”

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