Bulletin 424 - Friday, June 12, 2009

Ciudad Juarez, Chihuahua,- Jabil Circuit de Chihuahua announced a US$15 million investment in new production lines that will manufacture solar panels for markets in the USA and other countries. This is a new division of this US-based international firm and Chihuahua was chosen to launch this project, for which 900 workers will be hired, as the Company's officers Octavio Cardenas and Maria Cazares announced in a press conference, where Governor Reyes Baeza was present. Ms. Cazares, Mexico Business Development Director, informed that the Company started operating in Chihuahua in September 2000 to manufacture products for and provide services to the automotive sector; they currently generate 4 thousand 800 direct jobs and around one thousand indirect jobs. The US-based Jabil Circuit has four divisions with 45 plants all over the world, employing around 80 thousand people. In Mexico they have plants in Chihuahua, Reynosa and Guadalajara, which occupy 20 thousand Mexican workers and export products for US$3.4 billion.

Source: El Diario

Ciudad Juarez, Chihuahua,- Investors and state authorities will work on bringing at least two new companies in the aerospace sector to Chihuahua during International Paris Air Show, to be held next week in France, Martha Lara, Minister of Industrial Development and Arturo Avila, Chairman of Maquiladoras and Exporters Association, informed. Mr. Avila, representative of Export Manufacturing Plants in Chihuahua, said that they already have three important projects in the aerospace sector in their portfolio and they expect a decision will be made for Chihuahua during this biennial exhibition, attended by more than 500 companies in the aerospace field. Arturo Avila said that negotiations with two of them are advanced, but the information is still confidential; he only said that these are two large world-renowned companies.

Source: El Diario

Saltillo, Coahuila,- A 5-month technical stoppage will take place in Lear Plant in Derramadero starting on June 19 and up to October, and therefore this plant will be under a technical stoppage for ten months this year. The General Secretary of the Union, Confederación de Trabajadores de México (CTM), Tereso Medina Ramírez, said that he was informed that an agreement was reached for a technical stoppage in this plant, which customer is Chrysler, and therefore he considers that Chrysler is in more trouble than General Motors. "What worries me is that if Lear, which manufactures car seats and upholstery, is deciding to have a technical stoppage until October, imagine the rest of the suppliers!" he said. Medina Ramirez said that Chrysler is the plant's only customer; there are 500 people working there, who during the technical stoppage will receive 50% of their salaries and 100% benefits.

Source: Zocalo

Mexico City,- The German Company Siemens informed Queretaro Governor, Francisco Garrido Patron they will invest MEP$160 million in Mexico, to establish a new plant there, according to a note published by El Corregidor de Queretaro Newspaper. Ms. Louise Goeser, President and CEO for Siemens Mesoamerica, told Governor Garrdido that the factory will be located in El Marques Industrial Park and will generate 200 direct jobs. The plant will be devoted to the production, supply and support of equipment for power transmission and distribution substations for public and private companies in Mexico and the United States. The plant will be inaugurated next July 16.

Source: El Semanario

Mexico City,- With a US$2 million investment, Isuzu Motors de Mexico inaugurated their first trucks assembly plant in San Marttin Obispo, State of Mexico. The plant will manufacture ELF 600 trucks with a cargo capacity of 8.8 tons; plans are to assemble 2 thousand units per year. Takeshi Wacayama, Isuzu's CEO, said that by establishing this plant they will be able to increase their share of the market in Class 4 trucks. "The drop (in sales) in transportation segment is 60% in general and in some areas up to 76%. In our case, customers' orders have stayed stable and we think we will close the year with sales volumes similar to last year's or even higher", he explained. Isuzu plant has a 9 thousand square meters surface (almost 97 thousand square feet) and employs 14 people in the assembly area, plus administrative staff.

Source: T21

Ciudad Juarez, Chihuahua,-The Swedish manufacturer of home appliances, Electrolux, announced they will transfer to their plant in Ciudad Juarez part of the production of a washing machines and dryers factory located in Webster City, Iowa. The Company informed that the decision will cause the layoff of around 150 workers in said plant as of next June 15. This is part of the Company's strategy to consolidate in Ciudad Juarez their manufacturing operations in North America. Last January the Company had informed that the manufacture of vacuum cleaners was being transferred to Ciudad Juarez. Therefore, Electrolux has concentrated here the manufacture and distribution of vacuum systems. In 2008, Electrolux invested US$100 million in a washing machines and dryers manufacturing plant in Ciudad Juarez to supply the North America market.

Source: El Diario

Mexico, Distrito Federal- With a MEP$158 million investment, Heinz inaugurated their first infant nutrition plant in Jalisco, which will generate around one thousand direct and indirect jobs. The complex, which will produce baby food, will also strengthen agriculture and services chains of supply in this industry. In a press release dated in Tlaquepaque, Jalisco, the Company pointed-out that 80% of the production generated by the plant will be exported to Central and South America, with the corresponding currency income. The plant, which is added to the plant Heinz already had in Mexico, was established in Jalisco due to the competitive conditions this State offers, such as qualified labor, infrastructure and economic stability.

Source: El Financiero

Mexico, Distrito Federal,- The economic crisis has not been reason for the German Company Merck to decide cutting down its labor force in Mexico, quite the opposite, according to Max Sarachaga, Government Relations Director for this multi-national company, in 2009 it has increased its labor force by 4% when compared to the number of jobs in 2008, which added to one thousand 300 people. According to Mr. Sarachaga, this figure will be increased further more when operations start in their new plant in Naucalpan, where the Company's current facilities are located. "It could be tenths of jobs", he said. Even if there is not an exact date to start operating the complex yet, it could be early in 2010, because the premises, which required a €7 million investment, are completely finished.

Source: El Financiero