Preferred Compounding to open second plant in San Luis Potosi

Preferred Compounding to open second plant in San Luis Potosi

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Custom mixed rubber compounds supplier Preferred Compounding Corporation is increasing its Mexican production and warehousing facilities by more than 70 percent to 137,000 square feet.

The Ohio-based company has signed a ten-year lease effective January 1 on a building immediately adjacent to its San Luis Potosi facility, according to a press release.

Last year Preferred Compounding de Mexico added 15,000 square feet of inventory and office space and brought online a second Farrel F270 black mixer.

“We continue to grow and will need more room to stay ahead of demand,” said Scott Lieberman, general manager for Preferred Compounding de Mexico and vice president of strategic initiatives for Preferred Compounding. “When the building next to us became available, we moved quickly to secure the space. Location doesn’t get any better than this.”

Preferred purchased the San Luis Potosi facility from a Spanish company in 2012 and brought online one Farrel F-270 in early winter 2013 and then added a second one in 2015. The mixers and controls are identical to ones in use at Preferred locations in Tennessee and Georgia. The ISO 9001:2008 certified facility in San Luis Potosi mixes black compounds.

Preferred currently employs 115 people at the 80,000 square-foot facility, about 15 percent ahead of 2015 projections. Initial use of the newly-leased building will be for warehousing, said Lieberman.

“We’re growing faster than the market but keeping our focus on the fundamentals of quality and delivery,” Lieberman said. “What customers and prospects are telling us is that they appreciate our value-added focus on customer service and the business relationship. When we perform, our customers can achieve their objectives.”

Preferred Compounding de Mexico provides custom compounds and services primarily to the Mexican operations of US, Asian and European parts manufacturers. Value-added services include flexible supply and materials agreements, compound development, improvement and testing resources and the company’s MixLoc™ Quality Program, which includes 24/7 online access to quality data and more.


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