Automotive manufacturing is an industry in Mexico is that is greatly developed and active. Mexico is the 7th world producer of automobiles, parts, and trucks, and is listed in the top ten largest exporters in the world. Manufacturing activities range from assembly and armoring to casting and stamping of vehicles and motors. In 2020, Mexico production of automobiles will reach 5 million and over 100 billion dollars in sales. Currently, Mexico is positioned as the largest supplier of auto parts to the United States.
As a result of its recognized quality in automotive manufacturing, Mexico attracts a great number of foreign automobile manufacturers. More than 100 Tier I automobile manufacturing companies have invested in setting up automobile manufacturing plants. Moreover, foreign companies produce in over twelve Mexican states.
Compellingly, the “Big Three”, General Motors, Ford and Chrysler have been operating in Mexico since the 1930’s. Others, including Chrysler, Ford, GM, Honda, Mazda, Mercedes Benz, Nissan, Toyota, VW are continuously growing their activities in Mexico. Overall, the states of major production are Morelos, Guanajuato, Chihuahua and San Luis Potosi.
Industry highlights
Nissan Auto Industry
In the state of Aguascalientes, many models of Nissan autos are manufactured. The plant is considered one of the most recognized factories by the Japanese consortium, due to the highest standards of fabrication, competition and professionalism of its plant workers. In 2016, the parts and motors Nissan plant produced over 11 million parts. The auto manufacturing plant in Aguascalientes fulfills the highest standards of quality and is as strict as those in Europe and the United States.
The plant in Aguascalientes sits in an area of over one million meters squared. It is about ten miles outside of the capital city. The plant has two principal warehouses. One is dedicated to the manufacture of motors and parts and was established in 1982. It is important to note that the parts manufacturing plant counts with processes that allow for Nissan to construct the necessary parts such as the block, cylinder heads, and camshafts. These parts then are shipped to the two warehouses, which have approximately 38 lines working constantly. It also has five assembly lines that permit a motor to be constructed in 17 seconds.
Only three Nissan plants globally have this configuration of having motors/parts and vehicles in one central locality. Recognized for its high standards of manufacture, this factory has become an exemplar, where car models are built entirely by Mexican workers. All areas work in perfect synchronization, thus there is no unnecessary inventory. Virtually, the plant and suppliers create only the elements that will be used in the manufacture of vehicles being built next door.
In summary, the Nissan Plant in Aguascalientes, produces 65 automobiles an hour. Once an automobile is completed, it is moved to the testing track. Every automobile produced at this plant passes through the track. Once approved, the vehicle arrives in the area of logistics and embarking begins.
Production volume in the state of Morelos includes the manufacture of Frontier pickus and other automobiles.
Volkswagen
The first Volkswagen vehicles that were built in Mexico were the Beetle and bus. In 1955 Alfonso de Hohenlohe obtained the rights for the first VW agency in Mexico and a contract was signed with Studenbaker-Packard of Mexico to assemble the Volks Sedan, later known as the Beetle. In 1970 the production of the VW bus began. The third model built in Mexico was the “Thing”, with production ending that same year.
In 1980, the new production plant marked the manufacture of the VW Sedan number one million. In this same decade, other iconic models were built. The VW Golf was initially shipped to the United States.
The Volkswagen manufacturing plant in the state of Puebla is the largest in Mexico and one of the largest of Volkswagen Groups outside of Europe. At this plant, all production processes take place, including stamping of parts that make up the motor, and the fabrication of catalyzers. It sits on an area made up of 300 hectares, with a building of more than one million meters squared. In Mexico, Volkswagen built over 600 thousand autos in 2013, with over 86percent of them being exported to other parts of the world. Over 600 thousand autos were built in 2013, with over 86% exported to other parts of the world. In summary, three autos are built every two minutes.
In the state of Guanajuato, TSI motors of the last generation are then shipped to other plants in Mexico and the United States.
In 2017, Volkswagen of Mexico obtained the Certificate of Level III phase 3 of Auto Management, for its efficient administration in security and safety in the workplace.
Reference
NAPS
OICA
Swiss Business Hub Mexico