Dallas Market Center debuted the Nearshoring America Expo this week. Connecting manufacturers and distributors in one location, the first-of-its-kind event featured an invitation-only showcase of factories, shelter companies, and supply chain providers chosen for their proven track record and ability to support U.S. importers. Enterprises including sourcing agents, trading companies and design and production consultants were also represented.
“This is a curated show of factories and service providers selected based on their history, operating experience and delivery in key categories including apparel, fashion accessories, footwear, residential and commercial lighting, home furnishings, and gifts,” said Cindy Morris, Dallas Market Center president and CEO. “Our team traveled extensively in Latin America and built a network of local agents to help identify qualified exhibitors. We also created partnerships with key trade associations.”
Dallas Market Center’s decision to launch the Nearshoring America Expo was made well in advance of the 2024 U.S. election results. Since then, President-elect Donald Trump’s threats of tariffs against Mexico and the BRICS countries, including Brazil, have added a layer of uncertainty to global trade. Nevertheless, Morris said she remains confident that creating an event that educates and inspires will be successful as importers think about long-term opportunities.
While the shift to sourcing in Asia was largely motivated by price, she said the “brands we serve want to save time, take uncertainty out of the supply chain, and look to Latin America for quality goods delivered efficiently.”
Morris said many of Dallas Market Center’s exhibitors are either already producing in Latin America or are eager to explore the capabilities. She noted that she’s seeing “remarkable quality and production ramping up in Latin America.”
She added that many leading companies from several industries have encouraged a juried event in Dallas given recent challenges to overseas production and interrupted supply chains. “They requested the event be created by the industry for the industry,” she said. “They also understand our commitment to supporting more efficient trade; our unique access to brands, factories, and service providers as well as our long-standing relationships with them; our purpose-built marketplace infrastructure and operations; our geographic advantages for easy travel; and our safety and controlled access for both attendees and exhibitors.”
Morris said efforts are starting to pay off, and Dallas Market Center is already planning for a second event on Dec. 8-10, 2025.
Several exhibitors said they hope the event creates opportunities for steady streams of business in the U.S., including Jose Antonio Rocha, owner of Oliansa, a León, Guanajuato-based leather footwear factory that produces men’s and women’s shoes for H.H. Brown. The factory currently operates at approximately half of its capacity, producing 2,000-2,500 pairs of shoes a week. Rocha launched a house brand called Unmarked one year ago as a secondary business.
The uncertainty surrounding Trump’s tariff policies and their potential impact on U.S. brands’ sourcing strategies looms large. Rocha highlighted the unknowns, noting that while nearshoring offers advantages like greater flexibility, shorter lead times, and improved communication, it remains unclear whether these benefits will offset the potential cost rise. On the other hand, Rocha suggested that Trump’s stance on escalating pressure against China could ultimately tilt the balance in Mexico’s favor.
Exhibitors of footwear and leather accessories from Mexico pointed out the irony of preparing for a nearshoring event just as Trump was using Truth Social to announce his intention to impose 25 percent tariffs on all products from Mexico. Despite this, many remained optimistic, choosing to move forward with their plans, as they remain skeptical that the proposed tariffs will come to fruition.
“It’s a weird market to be in at the moment,” said Azael Morales Jr., creative director of Jaac Arnold, a leather handbag and accessories manufacturer with factories in Mexico and Los Angeles. The company specializes in hand-tooled leather bags, belts and hat accessories, and produces white-label products for Stetson and Ariat.
“Cowboy culture is influencing high fashion and demand is growing outside the traditional Western regions,” he said. While it’s an ideal time to expand its wholesale and white-label business, Morales Jr. remains mindful of the need to keep costs low in anticipation of the tariffs proposed by Trump.
Western Leather Goods, a boot manufacturer with factories in Texas and Mexico, is seeing the benefits of Western exploding in pop culture. Ryan Vaughn, president and CEO, said Western’s influence in music and television is generating new business for its family of brands including Olathe Boot Co., Anderson Bean, Rios of Mercedes, Macie Bean and Horse Power. While most of the growth is at entry-level price points, Vaughn said the trend has a wider positive effect on the category, evident in Cavender’s growth and Boot Barn expanding outside traditional territories.
Vaughn said he isn’t intimidated by Trump’s tariff threats and believes a “more even and fair playing field” can be achieved. “If Trump puts a 10 percent tariff on all goods from Mexico, we’ll have to absorb some of the cost—distribute and absorb—but it will also make my boots made in the U.S. more attractive,” he said.
“We can prepare for duties by working on better costs and by developing value products for customers,” said Gabriel Marquez, a representative of Michael Alle, a León-based leather jacket manufacturer.
Michael Alle produces 7,000 units per month at its strategically located factory in the heart of Mexico’s leather cluster. Its core business is leather and wool varsity jackets and lamb leather jackets, though Marquez said it is growing the wool and waxed canvas assortment to meet demand. The company exports 80-90 percent of its production to large U.S. brands. It also sells a house label, Lastwolf, in the U.S. and Canada.
While Marquez believes there are “mechanisms” that would prevent the U.S. from slapping Mexico with sweeping tariffs, he said the ongoing issues between U.S. and China may present new opportunities for other sourcing countries. Other countries, he added, cannot compete with Michael Alle’s level of craftsmanship, leather expertise and sustainable practices.
Offering unique products is one of the ways Mexican companies are differentiating themselves in the global market.
Biomaterial manufacturer Desserto presented cactus leather and agave-based materials manufactured in Mexico and Italy alongside its new venture into finished goods. The Mexico City-based company is working with a network of domestic factories to produce bags, footwear, phone cases and more with its sustainable materials. While alternative leathers are still new to the Mexican market, Esteban Eduardo Lupio, a sales executive for Desserto, said there’s opportunity in the U.S. as more companies are looking for ways to minimize their environmental impact.
Cesar Aguilera, founder of the handbag manufacturing company Raiz, doubts that tariffs will affect his business as his products cater to high-end brands that put quality before cost. Specializing in handbags made with leather, seagrass, jute and leather alternatives, one bag takes 10 hours to complete by hand.
“We’re not in competition with Asia,” he said. “We have higher levels of quality and craftsmanship.”
Others call bluff on Trump’s plans.
Arnoldo Avelar Contreras, CEO and founder of Jaac Arnold, likened Trump’s tariff tirades to a scare tactic, adding that duties would ultimately hurt business in the U.S.
“I believe we’ll come to an agreement,” said Jose María Junco Lucio, Unicco Belts commercial director. Approximately 80 percent of the Mexican leather accessories company’s business is domestic or in Latin America. He attended the show to get reacquainted with the U.S. market after losing that segment of business during the pandemic.
Driven by the growing demand for pet products in the U.S. market, Leticia Olmedo, founder of Zatopet, a pet accessories manufacturer with factories in Moroleón and León, Mexico, is considering expanding her operations into the U.S. to help revitalize the American textile industry. Olmedo believes that doing business under President Trump’s administration could be more favorable, citing his business acumen and transactional approach to trade.
“When push comes to shove, Trump won’t do anything that damages business relations,” she said.