Problems
What will AGI do for Offshore Tooling Price Undercutting?
Domestic tool and die shops, injection mold makers, and precision machinists routinely lose contract bids to overseas manufacturers offering prices that fall below domestic raw material and labor floors. Original equipment manufacturers and consumer brands treat custom tooling as a pure capital expenditure, evaluating bids almost entirely on upfront cost. When a domestic shop calculates a quote based on baseline engineering and machining costs, offshore competitors submit bids at a fraction of that baseline, shutting domestic suppliers out of the initial production run.