American Axle & Manufacturing Holdings, Inc. (NYSE: AXL – news) announced today that it will expand its manufacturing complex in Silao, Mexico to include a forging facility. The expansion was announced by American Axle & Manufacturing’s (AAM’s) Chairman, CEO & President Richard E. Dauch at today’s formal dedication ceremony of the company’s existing facility in Silao.
Dauch also announced the appointment of Hector Orozco as plant manager of the new Guanajuato Forge facility, reporting to Ronald J. Allman, general manager of AAM’s international Forging Division. Orozco is currently operations manager of Guanajuato Gear & Axle.
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The Guanajuato Forge will be located adjacent to the existing Guanajuato Gear & Axle facility, which was constructed on property purchased in 1998. It marks AAM’s second expansion of its Mexico operations; the gear & axle plant is currently being expanded from just over 300,000 square feet to more than 700,000 square feet to meet increased customer demand. The new Guanajuato Forge facility will bring AAM’s total manufacturing space in Guanajuato to nearly 850,000 square feet.
Construction of the building will be completed by mid-2001. Production will begin in mid-2002. The company will add about 100 men and women to its existing Guanajuato workforce of more than 400 associates.
“Our 1998 announcement that we would build the Guanajuato Gear & Axle Plant marked a milestone in the company’s expansion into the global marketplace,” said Chairman, CEO & President Richard E. Dauch. “The addition of the Guanajuato Forge Plant will continue our growth in this region, demonstrate our commitment to grow our international value-added forging business, support our driveline operations, and allow us to meet and exceed our customers’ needs.”
“The Guanajuato Gear & Axle associates have proven their ability to learn and utilize advanced product, process and systems technology to produce and deliver world-class quality products on time, every time,” said Curt S. Howell, managing director of AAM de Mexico. “We look forward to expanding our operations and workforce here.”
AAM is a world leader in the manufacture, engineering, validation and design of driveline systems, chassis systems and forged products for trucks, buses, sport utility vehicles and passenger cars. In addition to its 14 locations in the United States (in Michigan, New York and Ohio), AAM also has offices and facilities in Brazil, England, Germany, Japan, Mexico and Scotland.
