Recent and upcoming investment in Mexico

Information collected from media reports over the past month:

  • Steel: A consortium led by Japanese steel products manufacturer Kobe Steel inaugurated a new manufacturing plant in the central state of Guanajuato, local media reported. The US$33 million facility is planned to produce  cold-heading quality steel wire. (Unión Guanajuato, October 11, 2016)
  • Automotive: Japanese auto maker Toyota announced it will invest US$150 million in its manufacturing plant in the northwestern state of Baja California. Manufacturing processes will be upgraded and expanded to boost production of the Tacoma pickup truck by 60%. (El Financiero, October 24, 2016)
  • Renewable energy: UK-based infrastructure developer Cubico Sustainable Investments plans investment of approximately US$700 million in Mexico over the next two years. The company was awarded two contracts in a recent Mexico auction to construct a wind farm and a solar power generation plant. (Reforma, October 11, 2016)
  • Industrial parks: The members of the Mexican Industrial Parks Association (AMPIP) expect to invest up to US$7 billion to develop new industrial parks through 2018, the organization announced. Trends such as the need for strategic fiscal warehousing and special economic zones are driving expansion, according to AMPIP. (Reforma, October 7, 2016)
  • Hospital equipment: Japanese bed producer Paramount Beds plans to establish a new manufacturing site in the central state of Querétaro, the Querétaro government reported. The US$3.5 million facility will produce specialized beds for hospitals and home patient care. (Visión Industrial, October 12, 2016)
  • Railroads: Mexican rail freight operator Ferromex announced it will invest approximately US$125 million to build a rail bypass near the city of Celaya in the central state of Guanajuato. The project is intended to provide direct rail freight access to a Honda automotive manufacturing plant in the area. (El Economista, October 26, 2016)
  • Steel: Mexican steel producer AHMSA obtained a US$30 million credit from the North American Development Bank (NADB) to upgrade environmental technology at its steel plant in the northern state of Coahuila, the company reported. The financing reportedly will be used to install a baghouse to capture and confine emissions from scrap, steel loading, hot steel and cargo areas. (SteelOrbis, October 11, 2016)
  • Logistics: DHL Express, courier subsidiary of German logistics multinational DHL, plans to increase its investment in Mexico by US$100 million through 2017, the company reported. Resources will support expansion of retail locations, new service centers and upgrades to the company’s air and ground fleets. (El Financiero, October 3, 2016)
  • Retail: Mexican department store operator and commercial real estate developer Liverpool plans investment of approximately US$225 million to build a new logistics center in the central State of Mexico, the company reported. The logistics and distribution center is planned to be constructed from 2017 to 2020.  (El Universal, October 18, 2016)
  • Electronics: Japanese electronics components maker Hayakawa plans investment of approximately US$2.4 million to establish a manufacturing facility in the central state of Querétaro, the state government announced. The site is expected to produce electronic cables and wire harnesses. (El Financiero, October 11, 2016)
  • Automotive: Italian auto parts maker Brembo inaugurated a US$36 million brake caliper manufacturing plant in the northeastern state of Nuevo León. During the inauguration, Brembo further announced it will construct a cast iron disc foundry nearby via investment of approximately US$95 million. (Tire Review, October 21, 2016)
  • Food processing: Swiss processed foods giant Nestlé inaugurated a new production plant in the western state of Jalisco, the company reported. The US$245 million facility, the company’s 17th plant in Mexico, is planned to produce infant formula products. (Nestlé, October 6, 2016)
  • Financial services: U.S. financial services giant Citibank announced it will invest US$1 billion through 2020 to bolster its Mexican subsidiary Banamex, to be renamed Citibanamex. Resources will help support expansion of the bank’s ATM network and mobile banking operations.  (Wall Street Journal, October 4, 2016)
  • Automotive: Japanese automotive seat system manufacturer TACHI-S is preparing to construct a new research and development center in the central state of Aguascalientes, the state government reported. The US$10 million site will conduct safety testing on the company’s products. (Visión Industrial, October 25, 2016)
  • Retail: U.S. aftermarket auto parts and accessories retailer AutoZone plans to open 40 new sales locations in Mexico over the next 12 months, the company reported. AutoZone had 483 stores operating in Mexico through August 2016. (El Financiero, October 3, 2016)

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