Grand Opening of new factory in Mexico
Go backLTP Furniture opens its first furniture production facility in Mexico, supporting customers with sustainable manufacturing and sales in North America
The North American furniture market is the largest market in the world and LTP Furniture will, by 2022, be able to support our customers with easy access to this market, short lead times, and sustainable production solutions from our new location in Saltillo, Mexico.
“Our experience from the furniture industry shows that North America is a very attractive market. Most companies can within a short period of time after entering the market increase their total sales with 25-50%”
– Benedikte Viberg CCO.
LTP Furniture will through our partnership model support the growth strategy for current and future customers who wish to get a local footprint in the USA and Canada.
An important part of this setup is LTP’s handling of customs procedures for all imports and components. When feasible components will be sourced locally in Mexico.
Lead times is a very important parameter to increase sales for European customers in the North American market. In general transit times from Europe are around 30-35 days and with local production in Mexico transit times can be reduced to just 2-3 days. The Saltillo location is a perfect logistics hub for production as we can reach the US boarder in 8 hours.
Sustainability is an important agenda in all industries and here near shoring is crucial to reduce carbon footprint. With this new setup it’s expected that more than 50% of sourced components can be sourced in North America and thereby reducing emissions significantly in comparison to importing all products from Europe.
During 2022 the first certifications for the new Mexico setup will be in place, to ensure that furniture will be manufactured at the same level of quality as the setup in Europe (ISO-9001) and under the same environmentally controlled conditions (ISO-14001). The location in Saltillo will furthermore become FSC certified in 2022 to supply controlled wood and packing materials.
LTP Group's Grand Opening of the new factory in Saltillo, Mexico
The grand opening of the Mexico facility took place last week after signing the contract with Amistad for a new location in the Amistad Industrial Park in Ramos Arizpe, Saltillo.
“We are very excited to announce the opening of this location in Mexico, which puts LTP Group on the map in North America, Europe and Asia,”
explains Henrik Olsson CEO Furniture Division.
In true Mexican style, the opening ceremony was marked with a Mariachi band playing, whilst the red ribbon to the new factory was cut. With this new opening LTP Group is establishing the first Furniture factory outside Europe, which supports our customers with quick access to the largest furniture market in the world, namely the USA and Canada.
4.000 square meters will be taken into production during 2022 and an additional 3.000 is ready for immediate expansion.
Besides the factory in Mexico, LTP Group is running fully owned factories in Lithuania, Belarus, Ukraine and Vietnam supporting both our garment and furniture customers globally.
Consciously Crafted Furniture & Garment
LTP Group is production partner for demanding Sport & Outdoor and Furniture brands with 9 fully-owned factories across 6 countries in Europe, Asia, and North America.