Constellium is to open a new manufacturing facility in Mexico to produce aluminium automotive structural components.
The plant in San Luis Potosí, will allow Constellium to respond to increasing demand for lightweight, high-strength aluminium crash management systems and automotive structures for the expanding auto industry in Mexico, expected to reach nearly 5m vehicles by 2019.
Constellium will plough around US$10m in the 5,000 square metre facility, which may be expanded to 13,000 square metres to meet supply needs. The company expects to employ around 100 people initially in San Luis Potosí and the facility is estimated to start production in 2018.
The site will complement Constellium’s growing footprint in North America for the fast expanding market of automotive structures. Last year, Constellium said it would build a new manufacturing facility for automotive structures in Bartow County, Georgia, which is expected to start production in 2017.
“The San Luis Potosí plant is an important step in our development in North America and will allow Constellium to expand its business into one of the most significant automotive markets in the world,” said Constellium general manager of Automotive Structures for North America, Eric Krepps.
“By bringing our manufacturing processes to Mexico to be near our customers’ assembly plants, we have a new opportunity to support automakers in their mission to make vehicles lighter, thereby improving fuel economy and lowering emissions.”