Midland Development Corp., an economic development agency based in the oil-rich region of West Texas, made a pitch to companies that have relocated overseas to consider coming back home, called “onshoring,” given the uncertainties of the time.
“Onshoring is top of mind for business executives who have watched their supply chains be disrupted and product deliveries delayed due to COVID-19,” the corporation’s website said on Sept. 1. “COVID-19 has forced companies to ask, 'At what cost?' If the cost is an inability to supply customers and fulfill contracts, it may not be worth it."
Over the last four decades companies have moved their operations to foreign countries seeking lower operations costs, but given the current COVID-19 pandemic and weather events, they should reconsider, Midland Development said.
It cited a survey showing 60% of large U.S. manufacturing businesses reported they had suffered serious disruptions because of the pandemic and recommended that transferring at least part of their business back to the U.S. would be a logical choice.
Midland is a great place to relocate, Midland Development said.
It touted the commercial space Midland can offer such as its Spaceport Business Park and the David Mims Business Park, both within easy reach of airport facilities, with plenty of raw land available for development and industrial buildings ready for occupancy.
Midland is strategically placed close to major markets in cities in Texas, Oklahoma, also Mexico, has a business-friendly tax and regulations environment, and a strong available workforce, the corporation said.
In addition to the restrictions placed on overseas business caused by the COVID-19 pandemic, the document said environmental disasters, hurricanes, fires, earthquakes should also be considered.
“Where U.S. companies have manufacturing operations (overseas) they have been hardest hit by these disasters and their infrastructure is not secured to withstand them,” the company warned. "The global supply chain is fragile. Businesses that want to protect themselves must onshore at least part of their operations to protect their interests.
A page listing available business properties is provided by Midland Development at midlandtxedc.com