Bulletin 461 - Friday, March 12, 2010

Mexico City,- Problems in automotive industry continue, when more assemblers join automobiles recalls due to possible failures. The situation, which General Motors de Mexico joined yesterday, also affects suppliers in Mexico, mainly Toyota's, an assembler which stopped producing and selling several models in the United States. This situation caused, for example, stoppages in Delphi's operations in two plants in Mexico. One of these plants is located in Parral, Chihuahua with 900 employees and workers; the other one is located in Ciudad Juarez with 480 employees and workers. Both plants manufacture harnesses and pieces for Toyota, mainly Corolla, Camry, Matrix, Tundra and Highlander models. At both factories, employees and workers stopped working for a whole week, the company informed. To this purpose, an agreement was reached to receive 50% salaries but 100% of bonuses and benefits.

Source: BASE

Mexico, City,- Ferrovalle intermodal terminal will invest around US$12.5 million to strengthen their general cargo and containers moving capacity, with plans to grow 3% this year, after in 2009 their operations dropped 10% due to trade contraction and the economic crisis. In 2009 around 60 million tons of all kinds of goods arrived to Ferrovalle terminal from ports such as Manzanillo, Mazatlan and Veracruz, Isaac Franklin, CEO, informed. He pointed-out that in Mexico there is "fierce competition" between railroads and auto transportation carriers, which move 80% of goods traded in Mexico, while railroads account for 20% to 25%, and therefore transportation redistribution is necessary, because railroad costs are lower and work is being done on having safe routes for products transportation. The expected rebound by economy and better trade conditions lead to consider that Ferrovalle will grow 3% in 2010, while the containers terminal will achieve a 12% recovery.

Source: Google News

Monterrey, Mexico,- After closing Toyota Plan in California, USA next April, Metalsa will transfer to Nuevo Leon manufacturing operations of Tacoma chassis. Even if he would rather not disclose the amount of the investment, Gustavo Andres Garza, Commercial Director, said that production will be installed in Apodaca Plant and will generate 400 new direct jobs. He added that according to the project, this line should be completed next August. "Plans are producing 150 thousand units per year and ship them to Toyota plants in San Antonio Texas and Baja California", he said.

Source: El Mural

Mexico City,- Unilever, the nutrition, hygiene and personal care transnational company, will build a new plant in the State of Morelos, where they will initially invest one billion and fifty million Mexican Pesos, the company announced in a press release. "The plant will generate 365 jobs during the construction stage; and 107 jobs when it is operating, as of May 2011". "Mexico offers strategic advantages for a company as Unilever. Both due to the potential of its domestic market and also because of its geographical location and position in Latin America, which will allow us capitalize our investment in the new plant to benefit our customers and consumers, mainly in the Region", the press release states.

Source: El Norte

Mexico,- The Spaniard real estate group Lar will invest around MXP$476 million (some US$37.4 million) in 2010 in Mexico to build 260 offices and houses, the Company's CEO in Mexico, Ignacio Bezares, informed today. Lar, which sees growth opportunities in Mexico in the next two years in spite of the economic crisis, is planning to build 650 more offices and houses in 2011 here, Bezares pointed-out in a press conference. He explained that "in spite of difficult access to credit for construction", Lar sold and delivered all of its projects in 2009, and predicted that 2010 "will not be a strong year in deliveries but it will be in investment". Last year Lar invested MXP$325 million (US$25.5 million) in Mexico and built 440 buildings.

Source: El Financiero

Tijuana, Mexico,- An automotive company will invest US$17 million within the next few months in Tijuana, Gerardo Brizuela, Chairman of Tijuana Economic and Industrial Development Commission, announced. This investment project comes together with municipal plans, such as the infrastructure project, where MXP$1.7 billion are being invested to build 42 kilometers of concrete, with a 20-year life, Mr. Brizuela added during the presentation of the first Innovating Tijuana Encounter 2010. "There is a fiscal incentives program to promote productivity in the City", Brizuela affirmed. As the main city in manufacturing production in Mexico, salaries in this sector in Tijuana rank third in Mexico, with an average of MXP$3,509 per week.

Source: EFE

Tijuana, Baja California,- The creation of one thousand jobs in Tijuana by Prime Wheel was confirmed yesterday. Prime Wheel is an Asian company that manufactures wheels and will start operations within two months. This was informed by the City Mayor, Jorge Ramos Hernandez, who met with Prime Wheel representatives to inform them about the incentives they will receive for choosing Tijuana to manufacture their products. He said these are excellent news for one thousand families, because this is the number of jobs that will be created at a critical time for unemployment.

Source: IndustriaMaquiladora.com