NUEVO LEON, Mexico – Upholstery manufacturer Kuka Home has purchased 90 acres here to expand its manufacturing complex to include four new facilities that will produce leather and motion upholstery and mattresses.
For nearly two years, the company has had a 350,000-square-foot plant in Monterrey, Mexico, which produces stationary upholstered furniture including sofas, accent seating and upholstered beds. Another nearby 250,000-square-foot plant produces mattresses.
In April, the company will break ground for a 2.3 million square-foot campus that will produce both motion and stationary upholstery initially with product shipping in the first quarter of 2023. Part of the complex also will later produce mattresses
A second phase will include a showroom, a research and development center and a state-of-the-art product testing lab.
“Kuka Home is committed to meeting the demand for the North American Market,” said Matt Harrison, president of Kuka Home North America, in a statement. “With high ocean freight costs and raw material shortages showing no sign of easing, we felt it was imperative to increase our production capacity in Mexico, expanding our capabilities beyond our current upholstery and mattress facilities in Monterrey.”
He added that the current 4-6 week lead times from Mexico for stock and special orders allow customers an option to the long lead times being quoted by other manufacturers.
“The expansion also will further enhance the efficiency of our supply chain, as our vertically-integrated structure allows us to control everything from raw material purchase to design, development, manufacturing, and distribution,” he said, noting that the expanded facilities are in addition to the company’s extended global manufacturing footprint that includes five facilities in China, two in Vietnam and the two other plants in Mexico.
The new facilities are about 20 minutes from the company’s existing facilities in Monterrey and about two hours from the Texas border, meaning that customers can get to them relatively quickly from the U.S. if they wish to review samples and production.
“In addition to the equipment and buildings, Kuka Home has invested in our people, with Spanish-Mandarin speaking management from the corporate office and equally bilingual local management who have accelerated our growth in the region by teaching and training years of knowledge and technique very quickly,” said Michael Carter, vice president, sales for Kuka’s Mattress Division. “A bilingual management team has resulted in first-class efficiency, systems, and product in our Monterrey facility for over a year and will continue with the Nuevo Leon plant.”