Only a few days after announcing the new trade agreement between the US and Mexico, Aguascalientes consolidated new foreign investment projects that demonstrate the confidence inspired by national industry.
The State government, through its Ministry of Economic Development (SEDEC), started negotiations some years ago with Voestalpine, a company of Austrian and German origin. This investment deal was closed in the 2018 Hannover Vesse—one of the most important trade fairs in Germany—which welcomed Aguascalientes as a guest.
The fruits of persistent hard work were attained this week: Voestalpine opened a new plant in the state, with an initial investment of over 30 million US dollars, which will create more than 90 specialized jobs for the people of Aguascalientes.
Voestalpine will produce doors, fenders, and metallic components for automotive body panels, and will supply parts to companies like COMPAS and Daimler. Apart from servicing the automotive sector, Voestalpine offers its services to Mexican industries like railroad infrastructure, mechanical engineering, energy, construction, and consumer goods.
Leading a Region with Potential
Voestalpine’s arrival in Aguascalientes is the reflection of Mexico’s potential for global leaders to set up headquarters here. Wolfgang Eder, Chairman and CEO of Voestalpine, expressed that customer proximity, along with a tremendous increase in demand in the country, were determining factors for expanding its automotive-related operations in Mexico.
“Two new plants open in the flourishing Mexican market” were the words used by Eder to describe Voestalpine’s arrival in Aguascalientes and Zacatecas—the neighboring state that joins the region’s industrial potential – where the company will produce tubular goods for cars.
Regarding Aguascalientes, company directors have announced that the plant’s productive quality is looking to become a leader in the automotive components market:
“With cutting-edge production techniques generated in Aguascalientes, we will become leaders in ready-to-install, steel-based automotive components. These components are made of high-resistance steel and ultralight materials,” said Peter Schwab, a member of the Management Board at Voestalpine.
A New Era for Mexico’s Industry
The revised trade deal between the US and Mexico promises to be a bilateral agreement of great benefits for both countries. It represents a major opportunity for the country’s industrial growth, where Aguascalientes is the spearhead:
“The new trade deal between the United States and Mexico represents an opportunity to reaffirm our commitment towards productive diversification, technological innovation, high added value formal jobs, and leading edge education; it is true that North America’s new commercial scenario involves.
unprecedented challenges which, far from making us give in, invite us to convert them into more investment and growth opportunities”, stated Governor Martin Orozco Sandoval.
Voestalpine directors agreed with this vision. Wolfgang Eder pointed out that the company is keeping careful track of the entire NAFTA region – to allow them to respond with more flexibly to a setting’s specific conditions in new locations.
Aguascalientes’ facility is the company’s 13th location in Mexico. Voestalpine employs almost 600 people. The Mexican market in 2017 alone generated 274 million EUR in revenues for the foreign company, and it is expecting significant growth from their two new plants.