“North America is positioned to be the most competitive region in the world—if we have the vision to build it together.”
-Ambassador Earl Anthony Wayne, former U.S. Ambassador to Mexico and co-chair of the Wilson Center's Mexico Institute Advisory Board
This vision is more than aspirational—it's achievable. But it will take collective commitment and bold strategy from both the public and private sectors. Over the last few years, we’ve seen how vulnerable global supply chains can be to disruption—whether due to pandemics, geopolitical tensions, or shifts in trade policy.
For North America, the lesson is clear: the path forward is not more globalization, but better regionalization.
From Efficiency to Resilience: a Shift in Supply Chain Priorities
The era of building supply chains based solely on cost is over. Today, resilience, proximity, and trust have become essential components of supply chain design. Strategies like reshoring, nearshoring, and increasingly, ally-shoring and friend-shoring, reflect this new reality.
What unites these strategies is a shared goal: reduce reliance on fragile, distant supply chains and reinvest in trusted, strategically aligned partners.
What is Allyshoring?
At the US-Mexico Foundation, we’ve helped elevate ally-shoring as a guiding framework for how the U.S. can rebuild supply chains among democratic allies. Developed by Elaine Dezenski and John Austin, ally-shoring is:
“The process by which countries rework critical supply chains and source essential materials, goods, and services among trusted democratic partners—investing in relationships that protect and enhance joint economic and national security.”
And Mexico is central to this vision.
Why Mexico Matters
Mexico is not only the United States’ largest trading partner—it’s a strategic ally with deeply interwoven industrial ties. Consider:
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40% of the content of goods Mexico exports to the U.S. originates in the U.S.
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More than 5 million U.S. jobs depend on trade with Mexico
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The USMCA certificate provides a reliable legal framework for tariff-free trade, IP protection, and rule-of-origin enforcement
But beyond trade, Mexico offers something more: a partner in building North America’s next-generation production ecosystem—centered on innovation, shared values, and regional security.
The Strategic Advantages of Allyshoring with Mexico
Here are 5 strategic advantages of allyshoring:
1. Resilience and Risk Mitigation
Ally-shoring reduces exposure to unstable suppliers and helps industries recover faster from disruptions—whether pandemics, supply shocks, or political instability.
2. Speed and Market Proximity
Mexico’s geographic closeness offers significant time and cost advantages, especially for low-volume, high-mix production models. Transit times are measured in days, not weeks.
3. Workforce and Innovation Capacity
With a young, tech-savvy population and growing academic infrastructure, Mexico is emerging not just as a manufacturing partner but as an innovation hub. The ability to co-invest in R&D and build shared technology platforms is a game-changer.
4. IP Protection and Rule of Law
Under the USMCA, intellectual property rights and investor protections are more robust and enforceable—giving U.S. businesses the confidence to invest in Mexico’s long-term innovation ecosystem.
5. Regional Security and Stability
Ally-shoring isn’t just economic—it’s strategic. A stronger Mexican economy enhances regional stability, reduces migration pressures, and strengthens U.S. national security interests at the border and beyond.
A Moment for Action
At Prodensa, we work with companies across North America to help structure, scale, and sustain regional operations. I’ve seen firsthand the extraordinary potential of cross-border collaboration—not just to solve supply chain challenges, but to build shared prosperity.
If we are serious about reshaping the global economy around democratic values, innovation, and mutual growth, then we must take action. Governments, corporations, and institutions across North America need to align on:
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Infrastructure modernization (smart borders, logistics corridors, energy connectivity)
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Talent development and binational credential recognition
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Supply chain digitization and regulatory streamlining
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Expanding USMCA-compliant trade and supplier networks
Conclusion: a Competitive North America is Within Reach
We have a historic opportunity to position North America as the world’s most competitive and secure region. But to do so, we must think beyond national boundaries—and begin designing systems, investments, and policies that reflect our shared future.
Ally-shoring is not a trend—it’s a strategy. It offers a practical, powerful way to build a regional economic engine that is agile, sustainable, and secure.
The future may not be what it used to be. But with the right partnerships, we can build something far better.
PRODENSA Key Points:
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North America has a unique opportunity to become the world’s most competitive region through stronger regional integration.
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Supply chains are shifting from cost-driven models to resilience-driven strategies like nearshoring, reshoring, and ally-shoring.
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Ally-shoring focuses on rebuilding critical supply chains among trusted democratic partners to enhance economic and national security.
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Mexico plays a central role in ally-shoring due to its proximity, industrial integration, skilled workforce, and USMCA protections.
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Five strategic advantages of ally-shoring with Mexico include:
1. Faster recovery from global disruptions
2. Shorter transit times and better access to the U.S. market
3. Growing capacity for innovation and co-investment in R&D
4. Stronger IP protections under USMCA
5. Regional security and long-term stability -
U.S.–Mexico trade is deeply linked: 40% of Mexico’s exports to the U.S. include U.S. content, and over 5 million U.S. jobs depend on this trade.
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To fully realize this vision, North America must align on infrastructure modernization, workforce integration, supply chain digitization, and regulatory harmonization.
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Ally-shoring is not a passing trend—it is a long-term strategy for sustainable, secure, and innovation-driven economic growth in North America.
