Resin distributor Conventus Polymers LLC has established a Mexican business unit in Guadalajara.
Parsippany, N.J.-based Conventus will operate in Mexico as Conventus Polymers de Mexico. That unit will offer the firm's broad portfolio of products to processors and end users throughout the Mexican market, officials said in a Dec. 2 news release.
They added that Conventus has been doing business in Mexico for several years and that the expansion into Mexico is part of the company's overall business strategy to grow into key geographic regions.
Establishing a legal entity in Mexico "strengthens [Conventus'] position in the Mexican market and allows the company to offer world-class service to both local plastic converter customers and U.S.-based OEMs that it currently supports," officials said.
President John Jorgensen added in the release that opening an office in Mexico "makes strategic sense for several reasons, including our further commitment to key multinational OEMs."
The Mexican move will expand Conventus' reach into existing strategic markets such as automotive, electrical, industrial and consumer, according to Jorgensen. With a legal operating entity in Mexico, Conventus can offer its international customers import and export capabilities, local inventory and warehousing, local currency transactions and Delivered Duty Paid (DDP) Incoterms.
Conventus will handle all exporting, importing, insurance, customs clearance, duty costs and freight from port, to warehouse and to the customer. To serve the Mexican market, Conventus has established warehouses in Guadalajara and Queretaro in addition to its warehouses on the border.
The firm has a compounding partner for toll compounding of Conventus-branded products in Queretaro. This tolling arrangement allows Conventus to offer local production with quick turnaround times and minimal freight costs, officials said.
As a result, they added, Conventus will benefit from lower compounding conversion costs which will make its products more competitive in the region.
Conventus is selling its global portfolio of products in Mexico including specialty nylons, polycarbonates, polysulfones, PEEK, thermoplastic vulcanizates (TPVs) and custom compounds.
In a recent interview with Plastics News, Jorgensen said that Conventus has made some additions to its line card in the last few years and is looking to focus on high-performance specialty polymers.