Mexico: General Motors prepares $5 billion investment image

According to Mexican Economy Minister Ildefonso Guajardo, the largest carmaker in the United States, General Motors, aims to at least double its output capacity in the country and will invest $5 billion in the local factories.

Ernesto Hernandez, president and managing director for General Motors Mexico further detailed that of the $5 billion, $1.4 billion has already been used, with the rest of the $3.6 billion scheduled to be spent around the country during the next four-year period, until 2018. “With this investment, General Motors will double its production capacity of vehicles, engines and transmissions,” Guajardo told the audience gathered in Mexico City for a conference.

Hernandez disclosed the investment would allow GM to further upgrade and expand its four manufacturing complexes in Mexico, modernizing the production lines and implementing the latest technological advancements in the vehicles and the auto parts. The plan would also generate up to 5,600 jobs at the four locations – situated in the states of Coahuila, San Luis Potosi, Mexico State, and Guanajuato.

After just two years of Pena Nieto’s presidency, Economy Minister Guajardo said that (including GM’s money) total investment in the Mexican auto industry has tallied $19 billion and the country is today the seventh biggest car producer globally – up one place since last year.

Via Reuters