![]() But relying on Mexican manufacturing plants requires an additional shipping step, with packaging assemblage remaining in the U.S., and that means that additional lead time is needed, sources say. ![]() Sources say that CDs weren’t directly affected by the recent tariff war between the United States and Mexico - which has ended in a trade deal. ![]() The Mexican plants place music on the discs, which are then shipped on spindles to the United States and packaged in this country. operation and gave its CD business to Bertelsmann’s Sonopress, which also makes CDs in Mexico. Sony Music and UMG, meanwhile, had their CDs manufactured by Sony’s DADC division until Technicolor took on UMG’s inventory. In 2015, entertainment-goods maker Technicolor bought Cinram, which made discs for Warner Music Group, and in 2017 announced it would shift CD production to its plants in Guadalajara. “While we’ve experienced some capacity issues at one of our suppliers, we’ve been able to tap into our network of alternative suppliers to meet consumer demand,” says a UMG spokesman.īut another factor delaying deliveries has been the recent shift in CD manufacturing to Mexico - a shift driven by factory owners rather than the major music companies. CD Sales Are Not Dying, But They Are Heading Towards Niche Status Like Vinyl: Analysis
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