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Bulletin 697 - Friday, January 23, 2015


The Japanese Company Fukoku begins construction in Guanajuato

With a US$10 million investment and the creation of 70 jobs, the State of Guanajuato´s Governor, Miguel Marquez Marquez, laid the foundation stone of the Japanese company Fukoku. The company is a rubber sealing manufacturer for the automotive industry looking to begin operations in the Marabis Industrial Park, located in the municipality of Abasolo. Mr. Marquez added that with the arrival of this company, a virtuous circle is created to benefit local residents by generating more jobs and improving the quality of life. The Governor also remarked Guanajuato’s outstanding economic growth, focusing on roads infrastructure, education, training, the privileged position of the State and the presence of major North American railroads: Ferromex and Kansas City. The Company will supply mainly to TNT plants in Aguascalientes, J-TEKT in San Luis Potosi, Aguascalientes and Denso Calsonic in Silao. Finally, the Governor Marquez recognized Japan as a trade partner of Guanajuato and the importance of political, social, cultural and business relationship that is taking place between the entity and Japan.

 

Source: Monitor Economico

Hyundai will invest US$418 million to build a new plant in Mexico

Hyundai Mobis (subsidiary of Hyundai Motor and Kia Motors) signed an agreement to build a factory in Mexico with a US$417.71 million investment, to meet the demand of South Korean automakers. The plant will be built near to Monterrey, Nuevo Leon and will begin producing modules and bulbs for cars by 2016. Hyundai Wia, a Company from the Hyundai Motor Group, also announced an investment of US$371.25 million for motors and other key parts of cars in Mexico. Kia Motors recently said that it would build its first vehicles factory in Mexico to ease the shortage of vehicles for the U.S. market.

 

Source: El Economista

Saltillo races for automotive investment

Saltillo is racing Queretaro to attract a potential automotive investment, which could generate 600 positions and for which 3 acres would be required for its installation. The tax incentives offered to the company will determine the agreement. Alberto Covarrubias Manrique, an Offshore Group Associate, pointed out that they have been working on this investment (metal-mechanic and welding sector) during the last year. Due to the size of the company, its installation is offered elsewhere outside the Industrial Park La Angostura, specifically in the areas that The Offshore Group has in the Derramadero zone. Zapa executives are negotiating this project, expecting to concrete the investment within the next months. However, the company also evaluates Queretaro. The state which facilitates tax exemptions will be regarded as a better option.

 

Source: Vanguardia

Upcoming investments going to energetic infrastructure

The consulting firm KPMG considered that the National Infrastructure Plan (PNI) provides "ambitious" investments in energy infrastructure, which detonate business opportunities for domestic and foreign enterprises. The PNI considers a total of US$269 million investment for various projects in energy infrastructure. Over 70% of these resources will be provided by the government and the rest will be provided by the private sector. "The structural changes seek to achieve energy security to meet the growing needs of Mexican society, in terms of quantity, quality and price of both fuels and petrochemicals. This fundamental objective should be achieved in a global environment of falling oil prices and instability", said KPMG in a statement. Some of the PNI projects are the construction of 17 pipelines. Likewise, Pemex will enforce a recovery plan in different refineries (Salamanca, Salina Cruz, Tula), with a price ceiling up to US$15 billion by the end of the administration. Openness to new competitors in the gas station sector will require the construction of a distribution network and storage infrastructure, due that Pemex is saturated. "This means a great opportunity for Mexican industrialists who, by themselves or associated with foreign traders, should be ready when the outlets can be installed to the public in 2018", said KPMG. The opening of the sector will support investment in both exploration and exploitation, such as hydrocarbon processing, petrochemical, transportation and storage and power generation.

 

Source: Manufactura

GKN invests USD$400 million in expansion project

With an investment of US$400 million, the company GKN confirmed that it will place the first stone of the plant expansion in May of 2015. The plant is already installed in the municipality of Villagran in Guanajuato, noted Arturo Carmona Medina, Director of Economic Development. The official said that due to the location Villagran has in the Laja-Bajio region, allows it to be an option for investment by transnational corporations in the town resulting in jobs and development to the region. This extension will join together with the consolidation of the Korean company Posco, which will start operations in April.

 

Source: Cluster Industrial

Nuevo Leon monopolizes the FDI in peripheral zone

In 2014, the peripheral municipalities, and some rural, were the protagonists of attracting Foreign Direct Investment (FDI) that was reached in Nuevo León, obtaining 75.4% out of the US$5.7 billion dollars announced. Of this amount, US$4.3 million were for the municipalities of Pesqueria, General Bravo, Salinas Victoria, Cienega de Flores, Galeana and El Carmen, according to data from the Ministry of Economic Development in the State (Sedec). The investment by Kia and its suppliers for US$2.5 billion allowed Pesqueria to obtain the 52% of total FDI, and to achieve the first place in attraction in the State for second consecutive year. The peripheral and rural municipalities attracted 56% of the foreign flow, which means US$1.8 million. The main investment projects came from Cemex and foreign funds to be used in wind parks such as Ventika I and II in General Bravo, with US$600 million; Iberdrola and Wartsila with US$305 million and Pesqueria with US$150 million. The Company Johnson Controls gave impetus to Cienega de Flores with a plant in which invested US$214 million and the Company GDF Suez decided to invest US$200 million in Salinas Victoria. In Nuevo León, the 87% of the FDI was generated by the automotive and energy industries.

 

Source: El Norte

Advics invests USD$26 million in Jalisco

The Japanese auto parts manufacture company Advics, who specializes in brake systems, installed in the municipality of Lagos de Moreno, Jalisco, the first stone of its first factory in Mexico, in which it will invest US$26.5 million over the next five years. "We have been expanding into global sales to reach the US$60.89 billion by 2017. Advics Mexico will be the first factory in the country and the fourth manufacturing facility in North America”, said Takeshi Shibata, Advic´s CEO. Advics is one of 11 companies in the auto industry that will be installed in the Automotive Industrial Park Colinas de Lagos in Lagos de Moreno. The Japanese company will begin operations in the first trimester of 2016. It acquired 10.4 acres of land in the Industrial Park specialized in the auto parts industry; will generate 50 direct jobs during its first stage and 250 in the subsequent five years.

 

Source: El Economista

Turkish investments approaching due to FTA

The Free Trade Agreement (FTA) between Mexico and Turkey, which is expected to be signed in 2015, will boost bilateral investment attraction, especially in the automotive sector, estimated Martha Barcena, Mexican ambassador in Turkey. The reason is that the Mexican economy is being watched by several Turkish companies that supply to Volkswagen, Audi, BMW and Kia, which are scheduled to open a new plant in Mexico or have already expanded their production. According to the ambassador, German and Korean companies have detected Mexican auto parts suppliers who have feasibility to settle in Turkey, with the additional advantage that they are not competitors because they cater to different markets. In 2013, Turkey exported cars to the world by US$6.80 billion, while Mexico exported the same product with worth US$32.38 billion. "The FTA could give even greater impetus to trade between the two countries and for mutual investment," said Mrs. Barcena.

 

Source: El Economista

Harley-Davidson expands its facilities in Queretaro

The manufacturer and distributor of motorcycles Harley-Davidson, will invest about US$1.5 million in 2015 to expand its facilities located in Queretaro. The company is planning to build a four-level premises, with an area of 2,000 square meters, so more space will be available for workshop, storage, logistics center and training rooms , said Oscar Peralta Casares, the Harley-Davidson´s CEO in Queretaro. He added: "We will expand the agency facilities to properly meet the demand". This investment will add 5 new positions to the current staff of 32 workers. Peralta said that, since 2010, its sales have increased by 15% to 20% annually, representing sales of more than 270 motorcycles a year. "For us, it is a great pride to be part of this plant, the most innovative and competitive municipality in the country," said Mr. Peralta.

 

Source: Somos Industria