Recent and upcoming investment in Mexico

Information collected from media reports over the last month:

  • Automotive: German auto parts maker ZF Group announced it will undertake a US$86 million expansion to its manufacturing plant in the central state of Querétaro. The increase in production capacity will allow the company to boost output of steering systems at the site. (Somos Industria, March 31, 2021)
  • Logistics: Mexican logistics operator Henco Global inaugurated a new 540,000 sq. ft. warehousing and distribution facility in the central State of Mexico, the company reported. Total investment was not specified for the site, which was reportedly designed to support Mexico’s fast-growing demand for e-commerce shipping. (T21, March 25, 2021)
  • Railroad: U.S.-owned rail freight operator Kansas City Southern de México (KCSM) is projecting investment of approximately US$118 million this year in upgrades for Mexico operations. Areas targeted for improvement or expansion include infrastructure such as a new clearing yard, cranes, signaling equipment and sidetrack, as well as rolling stock and operational systems technology. (T21, March 26, 2021)
  • Metal forming: U.S. sheet metal manufacturer Tenere announced plans to move its Mexico operations into a larger 180,000 square foot plant in the northeastern state of Nuevo León. Total investment was not specified for the expansion, which is projected to allow the company to double its output of sheet metal enclosures, racks, chassis and cabinets for clients in the cloud infrastructure, network architecture, fiber optics and renewable energy industries. (Mexico Industry, February 2021)
  • Electric vehicles: Swedish car and truck maker Volvo announced plans to invest in 300 charging stations for electric vehicles in Mexico, in support of the company’s plan to transition to all electric or hybrid vehicles by 2030. The amount of investment was not specified for the project, which will be carried out in partnership with Italian-owned electricity technology company Enel X. (Cluster Industrial, March 24, 2021)
  • Manufacturing: Chinese multinational appliance and electronics manufacturer Hisense will build a production plant in the northeastern state of Nuevo León, the state government announced. The US$260 million site is expected to produce refrigerators, dishwashers, oven ranges and air conditioners principally for the U.S. market. (nl.gob.mx, March 2, 2021)
  • Logistics: U.S. e-commerce giant Amazon announced it will construct a new delivery center in the northwestern state of Sonora. The amount of investment was not specified for the site, which is projected to provide same-day deliveries for the state capital area and next-day deliveries for several other cities in the state. (Milenio, March 23, 2021)
  • Steel: Steel producer Ternium, subsidiary of Italian-Argentinian steel and energy conglomerate Techint, announced US$500 million in planned investment in three Latin American countries, a portion of which will go to the company’s production plant in the northeastern state of Nuevo León. Resources are expected to support environmental upgrades in areas such as emissions reduction, effluent management and materials handling. (Mexico Industry, March 2021)
  • Automotive: German automotive components manufacturer Eberspächer inaugurated a new production plant in the northern state of Coahuila, the company reported. The US$25 million facility will produce emissions control systems as well as filters and catalytic converters for commercial and passenger vehicles. (Somos Industria, March 31, 2021)
  • Railroad: Mexican rail freight operator Grupo Mexico Transportes is projecting investment of approximately US$358 million in Mexico operations during the current year. Resources are expected to support activities such as track maintenance, reconditioning of locomotives, expansion of modal terminals, new equipment and upgrades to operational efficiency. (T21, March 26, 2021)
  • Automotive: U.S. vehicle parts manufacturer Phillips Industries announced plans to expand its production plant in the northern state of Coahuila, the company reported. The US$10 million upgrade will allow the site to increase output of electrical harnesses for tractor trailers. (Vanguardia MX, March 9, 2021)
  • Industrial parks: Mexican industrial real estate developer American Industries initiated construction of a new industrial park in the northeastern state of Nuevo León, the company reported. The US$55 million site is expected to offer 29 hectares (72 acres) of industrial space and 3.5 hectares (9 acres) of commercial space. (Cluster Industrial, March 5, 2021)
  • Petrochemicals: Brazilian-Mexican chemical producer Braskem-Idesa is developing a project to establish a storage facility for imported ethane gas in the eastern Gulf coast state of Veracruz, the company reported. The US$200 – 250 million facility is projected to have storage capacity of 50,000 barrels per day. (Reforma, March 2, 2021)
  • Automotive: U.S. auto parts maker Continental will expand its manufacturing plant in the northeastern state of San Luís Potosí, the state government reported. The US$72 million expansion is intended to boost output of disc brakes and electronic parking brakes to supply automotive OEMs in the region. (El Sol de Toluca, March 2, 2021)

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