Mexico Manufacturing Industry Information Center.
The FDI in Mexico grew 135.2% in the second quarter 2015, reaching the US$5.4 billion, reported the Ministry of Economy. This amount is compared to the US$2.3 billion in FDI recorded in the same period of 2014, according to figures from the Ministry of Economy. From January to June, Mexico recorded US$13.7 billion in FDI, 41.3% more than the same period in 2014 (US$9.7 billion). In the first half of 2015, 49.9% of the investment came from the U.S., 9.9% from Spain and 6.5% from Japan, among others, the Ministry informed. Last year, FDI in Mexico totaled US$22.5 billion, the Federal Government estimates that Mexico will receive about US$30 billion during 2015.
Source: El Economista
Kia Motors assured that while Mexico's economy records a slower growth, they will not adjusted its expansion plans in the country, because they have internal and precautionary measures to avoid any affectation. The company has had a good selling start and has registered an increase of 88% in the construction of its plant in the municipality of Pesqueria in the State of Nuevo Leon. Seong Bae Kim, Kia´s President, expressed interest in doing business with Mexico and also planning to develop a policy to integrate Mexican suppliers in the value chain. About the project in Pesqueria, Bae Kim confirmed that they will start with correspondent tests from December this year. The official production of 300,000 units annually will start by May 2016.
Source: El Horizonte
New investments will arrive to Coahuila with the installation of two Tier 1 companies that are suppliers of Kia Motors, said Eugenio Treviño, President of the National Chamber of Industry (Canacintra) in Torreon. These auto-parts manufacturers come from Korea and generate about 3,000 jobs. Coahuila is the third automotive export company in Mexico and the second Kia´s supplier. Shortly, the State Government will announce the amount of the investment and it is expected that more capital keeps arriving to the entity, said Mr. Trevino.
Source: Zocalo Saltillo
The Ministry of Tourism and Economic Development of Tlaxcala (SETYDE) reported that 20 new companies in the automotive industry have been established for the last five years, investing about US$265 million in the state and have generated 3,683 new jobs, "which is a real, direct and important impact for the State", said Adriana Moreno Duran, head of the SETYDE.
Several companies within the Guanajuato's Automotive Cluster, announced investments that will boost the automotive sector in Guanajuato. Toyota informed that they will invest US$1 billion in Celaya, Guanajuato, to install a new assembly plant, expecting to produce 200,000 units of the Corolla model per year. As for General Motors, it produces 360,000 trucks in Silao, while Volkswagen produces 330,000 high-tech engines and 460,000 transmissions annually. Besides, VWs plans to invest US$118 million to expand the plant, aiming to rise the engine production to 500,000 units by 2016. The Italian tire producer Pirelli will open the Piero Pirelli Institute in Silao on September 2015 and it will cost US$1.5 million. This institute will train up to 200 people. Ildefonso Guajardo Villarreal, Secretary of Economy expressed that it is expected that Mexico reaches a production of 5 million cars by 2020, ranking fourth in automotive production, above India, China or Korea.
The German company Robert Bosch invested up to US$7 million in an assembly plant of instantaneous water heaters for domestic consumption, which has been inaugurated recently. This plant, located in Tepotzotlan, State of Mexico, is the first of its kind in the Americas and plans to reach a production of 660,000 heaters annually. It is expected to start exporting to Latin America in the short term, said Rene Schlegel, President of Robert Bosch Mexico. The plant will employ about 100 people by 2016, out of which 70 will be in the production area and the remaining 30 in administrative areas. These heaters will reduce about 200,000 tons of carbon dioxide emissions per year, representing an up to 78% saving in gas consumption.
The firm Mitsubishi Electric, manufacturer of elevators and parts for escalators, plans to increase their investments in Queretaro, revealed Kazunari Takagi, CEO of Mitsubishi Electric in Mexico. He expressed that the Company's development in Queretaro is due to the skilled labor available in the State, its committed people and a very low turnover rate. Martin Guerrero, Director of the plant in San Juan del Rio, highlighted that the company has the distinctive of "Safe Company", as a factor for the development of new investments.
Next year, Jalisco will have an automotive cluster, integrated by local supplying companies of this industry, whose assembly plants are located in the States in the Bajio Region as Guanajuato, Aguascalientes and San Luis Potosi. According to Ruben Resendiz, head of the Institute for the Promotion of Foreign Trade for the State of Jalisco (JALTRADE), there are at least 50 companies, half of them are ready to join the supply chain of the automotive assemblers. The Minister of Economic Development, Jose Palacios Jimenez said that Jalisco has attracted investments in the automotive sector that exceed the US$1 billion and has generated 3,500 jobs in the past three years.
Source: El Economista
MEXICONOW will take the 2015 edition of the Mexico's Auto Industry Summit to Leon, Guanajuato, Mexico on December 9-10, 2015 at the Poliforum. With an audience of over 1,000 automotive industry executives, the main objective of this seminar will be to analyze the present and future business conditions of the Automotive industry in Mexico and let attendees to hear from industry experts and OEM's about the opportunities to participate in the industry value chain. The attendees will also have the opportunity of participating in B2B Meetings and Plant visits to some of the assembly plants in the Bajio area. Among the main speakers are Keishi Egawa, President & CEO of Mazda Motor Manufacturing de Mexico; Eduardo Solis, President of the Mexican Automotive Industry Association; Jun Umemura, Vice President of Toyota Motor Engineering & Manufacturing NA, Inc.; Oscar Albin, Executive President of the Mexican Association Of Automotive Parts Manufacturers; among others. Please visit www.mexicoautosummit.com for details.