Nissan has set the first stone of its new manufacturing complex in Aguascalientes, its third in Mexico and the second in the state. The complex is the result of a US$2bn spend announced last January to increase manufacturing capacity needed to satisfy the high demand for Nissan vehicles in the domestic and international markets.
The new complex will be located to the south of Aguascalientes, near the airport, and will be 2.5-times larger than the existing plant. In phase one it will produce 175,000 compact B-platform vehicles a year, creating 3,000 direct jobs and around 9,000 indirect roles. The complex will include a supplier park and a quality proving ground.
Phase one should be completed in a record 20 months and operational by the end of 2013. Nissans expanded production will be supported by a network of suppliers based at the adjacent supplier park, as well as from other locations. The vehicles manufactured in Mexico have 80% domestic content.
“The magnitude of Nissan’s commitment to this new automotive complex is without par. With this investment, we will be able to increase our manufacturing capacity from over 600,000 units per year, to more than 800,000 units by the close of 2013, continuing our record setting production rates in Mexico. And this is only phase one,” said Armando Ávila, vice president of Manufacturing at Nissan Mexicana.
“The new Aguascalientes complex underscores the objectives set forth by Nissan´s global strategy, Nissan Power 88, including a target global market share of 8%. The increase of manufacturing capacity for an operation that has already proven its leadership, will enable us to deliver more innovative vehicles for markets that are clamoring for them,” said Bill Krueger, vice chairman of Nissan Americas.
Nissan Motor started in Mexico in 1959 as a vehicle importer. In 1961, it established Nissan Mexicana to import and distribute automobiles.
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By GlobalDataOn 12 May, 1966, Nissan Mexicana started car manufacturing operations at Ciudad Industrial del Valle de Cuernavaca (CIVAC), the first full Nissan automotive plant outside Japan. A second complex – in Aguascalientes – was founded on 13 November, 1982, to produce components and stamping and, from 1992, vehicles.
Both plants have produced jointly over 7m units. In 2011, Nissan produced over 600,000 units, a historic record for the domestic industry.
Also in 2011, vehicle exports reached over 400,000 units exported to more than 100 countries, a number that demonstrate the untapped potential that could be realised once the new facility begins operating.
Nissan Mexicana has led the Mexican market for three years in a row and reached 25.5% market share, with 117,824 units sold in the first half of 2012, up 18.2% year on year.