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New ASMO Plant Takes Root in Mexico

A view of a windshield on a car that is covered in snow and water.

Riding on the successful coattails of the automotive industry's manufacturing boom in Mexico, ASMO Co., Ltd. of Japan is slated to begin construction of a new build-to-suit manufacturing facility in Guanajuato, Mexico, by September 2014, according to Tecma.

ASMO Co. specializes in the development and manufacturing of small motor systems for automobiles. Despite serving a global market with 19 subsidiaries and affiliates, ASMO has a strong presence in North America, with $606 million in sales in 2012 and more than 1,412 employees throughout the U.S. and Canada. Several ASMO plants are located throughout the U.S., with two plants in Michigan and another two in North Carolina. However, given the strong growth in Mexico, particularly in regard to the automobile industry, entering the Guanajuato region - an area that has seen development by a number of Japanese carmakers - with a new manufacturing plant just made sense for ASMO.

"We're excited to be part of the growing automotive industry in this region," said Kenji Ohya, president of ASMO Co., Ltd. "We know this is the right location to set up our first manufacturing plant in Mexico."

By April 2016, production of power window motors, power seat motors, and washer and wiper systems for cars and trucks is expected to begin. With the 22,700-square-meter manufacturing plant, ASMO Mexico SA de CV will initially employ 150 people - with the intention of hiring up to 350 more people through 2020. The plant, located on a plot of land measuring about 100,000 square meters, may be well positioned for future expansion. With an initial investment of $47.2 million, sale volumes are forecast to hit $90 million.

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When:
18 – 20 October 2016

Where:
Saltillo, Coahuila