DONGGUAN, CHINA – SMTC has completed the closure of its manufacturing operations here.

The EMS company is transferring manufacturing equipment from China to its facilities in Melbourne, FL, Fremont, CA, and Zacatecas and Chihuahua, Mexico.

SMTC said its operations in Mexico could grow 50% to 60% without adding any floor space. The Chihuahua site is at 60% to 70% capacity, while the Zacatecas facility is closer to 70%.

“I think there's going to be more nearshoring,” said Eddie Smith, president and CEO. “I think, the one thing that's a positive for us long-term on this [virus] is people will be bringing more things back to Mexico.”

SMTC is maintaining a small team in China to support global engineering, supply chain, and supplier quality engineering activities.