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Audi to open Production Plant in Mexico, a Great Addition for the Mexico Manufacturing Industry
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On Wednesday April 18th 2012, the Mexico manufacturing industry proved to be an established carmaking location when Audi confirmed that they will open a production plant in Mexico; this will be their first North American operation.
The fabrication start date is 2016 and they would produce an SUV model. The exact location of the plant hasn't been announced but it is expected to be decided later this year. The company's goal, according to Mr. Johan De Nysschen, President of American Audi, is to increase the market share in US and Europe. To open the plant in Mexico will definitely allow for this goal to be accomplished
"As an established carmaking location, Mexico offers an excellent economic basis for Audi production operations," Audi CEO Rupert Stadler said in a statement "Good infrastructure, competitive cost structures and existing free trade agreements played a significant role in the choice."
The group Volkswagen AG already has an automotive plant in Puebla, an engine plant in Silao (Central Mexico) and plans on building a $500m engine plant in Guanajuato that will supply both VW's plants in Puebla and in Chattanooga.
"The Volkswagen Group has a well-established and highly regarded manufacturing presence in Mexico, so it's logical for its Audi brand to use that advantage," senior analyst Bill Visnic said in a statement.
Mexico Automotive Industry
Whether its truck manufacturing and stamped metal parts, to seat belts and sound speakers; from carbon fiber body kits, to trailer chassis and electronic sensors – Mexico companies make them all to the exacting specifications needed by today's auto industry. With wages that are 50-80% below the U.S., and a workforce that understands QS-9000 quality needs, Mexico can keep the automotive business accelerating.
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