Mexican Railroads will invest US$700 million

Railroads in Mexico are poised to make significant investments totaling more than US$700 million this year, primarily directed towards infrastructure enhancement and equipment procurement.

According to Rogelio Velez, CEO of Ferrocarril Mexicano (Ferromex), the industry's prospects are promising, buoyed not only by government support but also by the favorable performance of the US economy.

Speaking at the XII Exporail conference, Velez outlined ambitious goals for 2013, aiming to achieve record figures with an investment of US$454.9 million for Ferromex and US$50.4 million for Ferrosur, primarily allocated to infrastructure and capacity enhancements. Notably, the focus will not be on acquiring new engines as substantial investments in this area have already been made.

Lorenzo Reyes Retana, Chief Operations Officer at Ferromex, echoed this positive outlook, emphasizing that both Ferromex and Ferrosur anticipate a robust annual growth rate of 4.8% during the 2012-2017 period.

This investment surge underscores the commitment of Mexico's railroad sector to modernization and efficiency, positioning it for sustained growth and competitiveness in the years ahead.

Source: Maquiladora Portal