Maquila Portal - Weekly Bulletin

Mexico Manufacturing Industry Information Center.


Bulletin 773- Friday, September 9, 2016

7 German firms to invest in Mexico

Seven German corporations have agreed to invest nearly US$3.8 billion during the period from 2016 to 2020; this amount represents 62% of the total FDI captured from Germany over the last lustrum. According to the Mexican-German Chamber of Commerce and Industry (CAMEXA), the income currently generated by German-owned businesses in Mexico (including exports), stands for 8% of the GDP in Mexico, while back in 2010, it stood for just 6%. ThyssenKrupp, Grünenthal, BMW, Bosch, Daimler, Kromberg & Schubert and Grupo Volkswagen are the seven companies that develop plants or buy businesses in Mexico with a vision to export to key markets such as the U.S. and the rest of Latin America.

Source: El Financiero

Schneider Electric opens its plant number 12 in Mexico City

With a US$4 million investment, Schneider Electric, manufacturer of equipment for energy management and electric automation, inaugurated its plant number 12 in Mexico, which is going to operate over a 10,000 square meters surface, with 26 production lines and a staff of 140 employees. The new productive unit is located in Mexico and will specialize in the assembly of power centers and measuring equipment both for commercial and residential usage. Enrique Gonzalez Haas, President and General Director of Schneider Electric Mexico and Central America, informed that the Company invested US$5.6 million to purchase new equipment and furnish the building in order to transfer the production lines from the Rojo Gomez plant to Mexico City, which will allow for an increase in their capacity of production in this Country.

Source: Manufactura

Sonora, ready to break agricultural exports records in 2016

Exports from Sonora's produce have peaked at US$1.7 billion over the first six months of 2016, whereas last year, the total was US$1.9 billion, according to data from the Ministry of Agriculture, Livestock, Rural Development, Fisheries and Food (SAGARPA) in the State. The authorities of the sector are keeping a positive outlook, as the expected total sales might exceed the sales records from 2015, closing this year. As far as the volume of the agricultural production exported from January to June during 2016, it is almost 2% larger than the total exports from 2015 and a further increase is expected, with the ongoing commercialization process in the international markets. The main export products from the State are: wheat, grapes, zucchini, watermelon, different varieties of pepper, cucumber and tomato. The main countries that receive these shipments are the U.S. (with 80%), Venezuela, Italy and some North African countries.

Source: MexicoXPORT

Nissan produces its first vehicle with 90% Mexican parts

Nissan Mexicana started the production of its model Kicks, the only vehicle made in Mexico with 90% of national contents. The new Kicks will be produced in the A2 plant, with an estimated production of 29,000 units for the domestic and export markets, during its first year. The automotive firm invested US$150 million to set up the production of this new crossover, in addition to the US$102 million invested by 14 suppliers, which accounts for 50 new jobs. This plant will also produce the Kicks' engine, model HR16K2, introducing new features to improve vehicles' performance. Commercialization in Mexico is expected to start in September, and Latin American exports shall begin by the end of the year.

Source: MexicoXPORT

Cars imported by Mazatlan

Mazatlan has just started to function as a port for automotive export this year, according to information from the Mexican Association of the Automotive Industry (AMIA).

8.5% of total vehicles that entered Mexico by sea during the first semester this year, were introduced by this port in Sinaloa, in contrast to last year, when no vehicles were entered here.

The two ports more widely used to disembark new units are Veracruz, with 59.2% of the total amount and Lazaro Cardenas with 30.8%. However, this port is seeing a major setback compared to the 45.6% it held last year.

Despite this increase, the port of Mazatlan is not currently being used to ship out vehicles made in Mexico.

Source: El Diario

Agricultural and fishing exports peaked at US$913 million in July

The total value of agricultural and fishing exports from the Mexican field, reached US$913 during the seventh month this year, which is equivalent to a 6.6% annual rate increase, according to reports by the Mexican Institute of Statistics and Geography (INEGI).

The greatest annual increases were reported in exports of citric fruits (48.3%), cucumber (46.9%), avocado (28%), mango (27.2%), legumes and fresh produce (22.7%).

Regarding extractive exports, they reached US$374 million in the same month, with a 60.1% annual increase rate.

Source: Negocios 360

Guanajuato's automotive manufacturing production on the rise

Guanajuato's Governor, Miguel Marquez Marquez, presided over the ceremony where the first stone of the VYNMSA Leon Industrial Park was laid. Marquez took the opportunity to say that, according to data collected by the Mexican Institute of Geography and Statistics, in all of the Mexican manufacturing industry, Guanajuato's automotive sector growth rate has the national first place compared to 2013, with current production worth 205%.

"Aguascalientes had growth of 70%; Coahuila, 66% and Nuevo Leon, 24% in the value of their production. Guanajuato, on the other hand, records 205%, which is proof of the dynamism and economic momentum in the State", said the Governor.

In addition, the arrival of investment such as the one to build the VYNMSA Leon Industrial Park, which is worth over US$48.3 million for infrastructure and 15 industrial buildings, reinforces the privileged position of the State's industry.

Source: Magazzine

Sekisui Plastics is now in Guanajuato

With an US$11 million investment and the creation of 72 direct jobs, Sekisui Plastics inaugurated its headquarters on the grounds of the Sendai Industrial Park.

Sekisui Plastics is in the business of developing hybrid foam molded pieces for the automotive-auto parts sector; likewise, the company will produce packaging to transport automotive components, mainly for the North American market.

The Japanese Corporation reports global sales surpassing US$27 billion, and maintains employment for over 43 thousand people in 13 locations around the world.

Source: El Financiero

PPG will invest in its Queretaro plant

In addition to the US$27 million investment made by PPG in 2014 to expand its plant in San Juan del Rio, Queretaro, a new investment project, to be confirmed next year, is on the works, informed Adriana Macouzet Flores, President and General Director of PPG Industries Mexico and Northern Latin America. She commented that this investment is meant to address the arrival of new plants in the automotive sector, including BMW and Audi in San Luis Potosi and Puebla, respectively. The new investment will be a lesser amount than the US$27 million that were announced back in 2014 and it will be used to increase the automation processes and make the manufacturing processes in the San Juan del Rio Plant, more flexible, as more than 10 million liters of paint are produced in this location each year.

Source: Vanguardia Industrial

Mitsubishi Steel Manufacturing sets up in Aguascalientes

Masaki Uzawa, VP and Legal Representative of Mitsubishi Steel Manufacturing, handed a commitment letter to Aguascalientes' Governor, Carlos Lozano de la Torre, with the intention of establishing headquarters for the Company in this State. Mitsubishi Steel, specialized in producing stabilizer bars and automotive springs, a supplier for Nissan Mexicana, will have its Operations Center on a 5 hectares area inside the FINSA industrial park and will start production by mid-2017. This investment will amount US$30.8 million, to generate 95 jobs during stage one. In stages two and three, the Company will supply for other automotive firms in the Bajio region.


New company established in Durango

Durango is s place with a great vision and attractive for investment, affirmed Alessandro Bolleri, Director of Tacar Technologies, Rossovivo. Jorge Herrera Caldera, State Governor, underscored that this company is becoming an ally to Durango's economic growth. They then set the first stone of the new industrial building for the Corporation, which shall employ 650 local people.

In its first stage, this plant will represent a US$11.9 million investment, and shall be operating by May 2017, built on a 12 thousand square meters' surface at the Centro Logistico Industrial de Durango, precisely across from Durango's International Airport and next to the train station. This is a proof of the reliability and security the State offers for productive investment, said the entrepreneur.

Source: El Sol de México

Investment project number 147 coming to Aguascalientes

Carlos Lozano de la Torre, Aguascalientes Governor, received from Masaki Uzawa, VP and legal representative of Mitsubishi Steel Manufacturing, a compromise letter to establish a new manufacturing plant of this Company in the State, which shall bring about a US$30.8 million investment and the creation of 95 jobs during its first stage. In this regard, Masaki Uzawa reasserted that the Company decided to invest in Aguascalientes, not only because of its excellent location and proven security, but also because of the amount of talent, preparation and capabilities of professionals, workers, technicians and engineers alike. Uzawa also added that by the end of 2016 the new building will be set up and by mid-2017 the production line will start, and as business keeps growing, a second and third stage could be added to the project, in order to supply for more automotive firms in the Bajio region.

Source: Capital de Mexico