ThyssenKrupp Expansion Further Proof of Faith in Central Mexico


ThyssenKrupp Expansion Further Proof of Faith in Central Mexico

Commentary by John Paul McDaris

As recently reported in Steel Orbis, a market intelligence and news portal for the steel industry, Germany’s ThyssenKrupp announced a $20 million expansion of its blanking operations in Silao, Guanajuato in Mexico. The move grows their footprint by 55,000 sq ft, adding a new state-of-the-art aluminum and carbon steel blanking line.

>>>Read: Why German OEMs and Tier 1s value a Mexican supply base

The expanded production capability will enable the automotive supplier to process both aluminum and carbon steel, addressing the need of the automotive industry to use aluminum for certain automotive applications. The large investment speaks to the confidence a global manufacturer like ThyssenKrupp has in the quality of not only the regional workforce but also the level of commitment by the state of Guanajuato to ongoing training and professional development. A substantial investment by a major European player is further proof of the importance of the Bajio region as a manufacturing powerhouse.

It also shows the extent to which the market in the Bajio continues to open up and provide opportunity. The OEMs expanded here first, followed by big Tier 1 suppliers and Tier 2 and Tier 3 players large enough to take advantage of opportunity in the region – like ThyssenKrupp. Small and midsize auto suppliers considering Mexican expansion should feel reassured about the Bajio, given news such as this.

Source: Steel Orbis