Mazda Starts Construction of Mexican Plant image

Mazda Motor Corp. on Tuesday held a groundbreaking ceremony for a new plant that will make small cars in Salamanca, in the state of Guanajuato – central Mexico. In total, approximately 400 people attended the ceremony.

In June, Mazda and Sumitomo announced plans to set up a new joint venture, Mazda Motor Manufacturing de Mexico (MMMdM) in the state of Guanajuato to specialise in compact vehicles.

“Since Mazda established its sales network in Mexico six years ago, we have experienced a remarkable acceptance from the people of Mexico. Last year Mazda sold over twenty-five thousand vehicles and captured over three percent market share,” said Mazda’s President Yamanouchi.

“We are excited to be constructing this new facility here in Mexico with our partner Sumitomo Corporation. It will be vital to bolstering our expansion in Central and South America.”

The new facility will produce both vehicle and engines, while the operations are scheduled to begin in the fiscal year ending March 2014 with an annual production capacity of 140,000 units. More precisely, the new facility will produce Mazda2 and Mazda3 models.

The automaker will spend about 500 million dollars (38 billion yen) to build the Mexican plant.

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