Leoni has inaugurated its first plant in Paraguay with the facility in San Lorenzo near Asuncion, manufacturing wiring harnesses for unnamed customers from the commercial vehicle and the passenger car segment.

“The new plant in San Lorenzo will help us to realise further business growth in the Americas,” said Leoni Wiring Systems Division Region Americas CEO, Martin Gloesslein.

“The company is already operating three wiring systems productions in Mexico and Brazil. The additional plant in Paraguay will deliver its products to customer plants in Brazil and Argentina.”

Leoni is investing a total of EUR12m (US$12.7m) in the new building and equipment, with the supplier noting it would take advantage of South American economic trade zone, Mercosul.

With an area totalling about 28,000 square metres and a production space of almost 10,000 square metres (January, 2016), the plant provides space for up to 1,000 employees when running at full capacity.

Serial production started earlier this year.

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