What’s Happening in Mexico’s Denim Industry
With an updated trade agreement, prime positioning for speed to market and increasingly innovative denim, Mexico is on track to shine in 2019.
To get the scoop on the denim scene in Mexico, Carved in Blue caught up with four key leaders in the space. Hear what Mike Stanisci, New York sales manager for Tavex USA, Kara Nicholas, VP of product design and marketing for Cone Denim, Anatt Finkler, head of design, creative director for Global Denim and Alvyda Kupinas, director of design at Kaltex America had to say.
Carved in Blue: How has your business fared in light of the changes to NAFTA into
the new USMCA—has it had any impact?
Mike: We have not experienced any negative impacts, we actually have seen
an increase in demand. I expect that to continue into 2019.
Kara: Demand for our denim out of Mexico is very robust and all signs point towards a continued strong market for our denim made in Mexico.
Anatt: At first everyone was really concerned with the idea of not knowing what would happen, so that uncertainty led to lack of trust from costumers and a slow, more careful, way of doing business. Right now, after the agreement on October, I would say the waters have calmed and everything is back on track, but it is still to be seen what happens after the agreement gets ratified in January and as the first months of the deal develop, but we are confident that it will be positive as the Mexican denim industry grows and moves forward into a brighter future.
Alvyda: I feel that the agreement had settled some of the worries that were looming over the region in the recent months. The new agreement is quite seamless with the 24-year-old NAFTA. Call it USMCA or NAFTA 2.0…Meanwhile as a positive outcome, I can cite the increased interest in Mexico and North American region due to uncertainty on the tariffs targeting Asia.
Carved in Blue: What is the appeal for companies now when it comes to denim from
Mexico?
Mike: As always, speed to market is a key attribute of Mexico denim. However, we are seeing an increase in demand for women’s fabrics with high stretch and great recovery, fabrics with sophisticated blends, when historically, Mexico was looked at as men’s-only production. The
investments made at Tavex in advanced spinning and fiber technologies has increased the demand for women’s fabrics in Mexico.
Kara: In general, brands are drawn to Cone Denim’s authenticity and heritage along with the innovation and quality that we offer. The close proximity of Mexico to the end consumer in the U.S. offers greater speed to market and provides our partners with the ability to monitor the manufacturing process from fabric to finished garment as it relates to their supply chain and consumer demand and adjust as needed.
Anatt: Mostly I find companies are realizing how good of a product we can develop in Mexico. Prejudices that were carried before are being blurred as the industry realizes how tech forward and advanced we are in the sector. Mostly I can say that one of the best advantages that people like is the close distance to the U.S. and duty free qualities as the need for speed to market grows and becomes crucial. Also, the quick reaction is a great advantage.
Alvyda: I see our clients benefit most during the development trips to Mexico. Kaltex Denim mill, the finishing facilities, digital printing, cut, sew and laundry are all in one accessible working environment in close proximity to the U.S. A major benefit of being the full package supplier is a circular sustainable manufacturing, full library of fabrics and a pilot mill for small run developments that allows on-site development.
Carved in Blue: What is the image of Mexico-made denim?
Mike: Competitive pricing, improved aesthetics, especially in higher stretch for the women’s market, fast lead time and consistent quality. 
Kara: Cone Denim produced out of our Mexico platform offers the same Cone heritage, innovation and quality combined with sustainable practices and products. Our Mexico platform offers eco-friendly denims made with fibers including TENCEL™ Lyocell, REFIBRA™ Technology and Repreve®, and eco-friendly indigo dyes including pre-reduced indigo and 100 percent natural plant indigo. Our Cone Denim Parras mill in Mexico is a leader in sustainable operations with its Cogeneration facility that supplies 90 percent of the mill’s electrical needs.
Anatt: Although there are still companies that might not like or have prejudices against sourcing in Mexico, its image in the denim business is growing as we become direct competitors to the best denim mills of the world. Brands are acknowledging that they can get many benefits from sourcing in Mexico as they get excellent product with the characteristics that the current market needs.
Alvyda: In a few words, [the Mexico denim sector has an] eye on authentic through the heritage business of the denim giants such as Levi’s and VF, while charging forward with new technology and fast turn development.
Carved in Blue: What’s ahead for your company in 2019?
Mike: Tavex will continue to invest in sustainable dyeing and finishing technologies, expanded capacity, and more products with fiber blends.
Kara: Our product collection is focused on sustainability, superior stretch performance, comfort and lifestyle. We will continue to invest in our business with regard to expanding our capabilities and dedicating the capital and intellectual resources necessary to drive innovation with a strong commitment to sustainability in all of our practices. In addition, 2019 is milestone year for both of our Mexico mills celebrating 25 years of successful business.
Anatt: We have a bright future for 2019, as we are strengthening our presence in Los Angeles to cater to premium brands at our new beautiful showroom located in the Arts district. We are expanding our mill and building into a 20,000-square-meter facility meant for our Ecoloop program, which is based on sustainability and a recycling fabric program moving towards a circular economy and a brighter future. Right now, we are recycling cotton based fabrics and turning it into new yarn for weaving, but we are looking forward to be able to recycle blended fabrics as well in 2019. [We are also] continuing with innovation and new constructions in our new collection to follow [and] to cater to our customer’s needs.
Alvyda: Kaltex has been looking ahead while making a major transformation (in step with the times) into a high-tech solutions company. We are gearing up the Spring 2019 for an exciting announcement. Details to come…
Carved in Blue: What’s next for denim in Mexico?
Mike: Here at Tavex we continue to develop with sustainable technologies in both fiber and chemicals, and we will be expanding our offering in performance denim.
Fashion presentation at Kaltex showroom
Kara: Cone Denim’s key focus for the future is continuing to evolve and create modern sustainable solutions for the denim market.
Anatt: I think Mexico moves in denim like the rest of the world. We are currently making an effort to be more sustainable and ecological every day bringing top of the art technology into the picture. The world is changing and so should we: evolution is crucial. Lots of new developments and excellent product will come from Mexico. Customers will keep benefiting from its strategic location towards the U.S.
Alvyda: Kaltex is increasing the Dye ranges and specialty finishing through a variety of applications: foamer, coating, mercerization, printing. The market demands flexibility, fast turn around and customization. Kaltex is prepared to offer the solutions for all.
Carved in Blue: What does Carved in Blue mean to you?
Mike: Go-to source of information on the latest trends and stories happening in denim.
Kara: Committed focus to denim Innovation and sustainability.
Anatt: Carved in blue means a great platform to be up to date on news about the industry. Like the name suggest it is “carved” like how the blue and the indigo are set permanently into our hearts, and it’s a great place for people like us to refer to and feel at home.
Alvyda: The pulse on the market and community.