Mexico
For more information, contact Carlos Mortera (cmortera@AMTonline.org).
TYW Manufacturing is investing $50 million in Irapuato to produce electronic instrument panels for the automotive industry.
FRISA has made a significant investment of $350 million in Nuevo Leon, where it has launched its new hot rolling mill in the municipality of Garcia.
The Danish company TAJCO, a leader in the production of automotive components, announced an investment of over $10.4 million to establish a plant in Queretaro.
NHK Spring Mexico has inaugurated a plant in Irapuato and announced an investment of $55 million. In 2025, NHK Spring will expand this new facility, which is located next to the existing plant in Castro del Rio, to manufacture engine cores for electric and hybrid vehicles.
Knipping Automotive is expanding its operations in Tlaxcala with an investment of nearly $18.1 million. The company specializes in high-demand plastic solutions for the automotive industry.
SK TEC is expanding in Guanajuato with a planned investment of over $21.5 million to enhance its plant. This facility focuses on automotive components, such as stamped metal parts, and supports the region’s automotive cluster, reinforcing Guanajuato’s position as a hub for innovation and foreign investment.
Kingfa will invest $84 million in a new plant in Villa de Reyes, San Luis Potosi. Spanning 15 hectares, this project will become the company’s largest innovation center worldwide, bolstering the regional automotive supply chain.
Mexico is the second-largest data center market in Latin America and stands out as a key destination for data center investment. Currently, there are 166 operating centers, with 73 more expected by 2029.
The aerospace industry in Mexico is projected to double its value by 2029, continuing a steady growth rate of 15% annually over the next few years.
JSP, a Japanese company, is constructing a second plant in Mexico to expand its industrial foam production. With an initial investment of $25 million, this plant will be built in Ramos Arizpe, Coahuila, and produce engineering foams used in automotive parts and specialized packaging.
Brazil
For more information, contact Achilles Arbex (aarbex@AMTonline.org).
According to ANFAVEA (the Brazilian Association of Automotive Vehicle Manufacturers), Brazil's vehicle exports reached 161,900 units in the first four months of 2025, a growth of 47.8% compared to the same period in 2024. Argentina has emerged as an important market for Brazilian exports, accounting for a growing share of total exports.
Sultecnica Industria Mecanica, based in Cachoeirinha, Rio Grande do Sul, plans to invest in expanding its production capacity. Founded 37 years ago, this manufacturer specializes in machined components made from steel bars, forged materials, cast iron, stamped iron, microcast iron, and nonmetallic materials. Sultecnica recently hired the Certi Foundation to conduct a factory expansion study to support a new five-year growth cycle.
During Expomafe 2025, the Brazilian cutting tools market welcomed a new player: Belz. This century-old brand, founded in 1918 in Switzerland, specializes in manufacturing both standard and custom round tools.
Tractor production is expected to continue expanding to 2030, driven by the adoption of new technologies and the necessity to renew the country’s aging fleet. This growth trend is anticipated to persist despite higher credit costs and elevated interest rates, underscoring the critical role of tractors in enhancing agricultural productivity.
Volvo CE has launched its new generation of articulated haulers in Latin America. The A45 and A50 models, recently introduced in Europe, are the first from this new series to be available on the continent. The A45 model will be produced at Volvo's plant in Pederneiras, São Paulo, while the A50 will be imported from Sweden, the brand's headquarters. Both models feature advanced technology, reaffirming Volvo's commitment to safety, availability, and efficiency in challenging work environments.
Finnish multinational Valmet is expected to complete the construction of its new factory in Vespasiano, located in the greater Belo Horizonte area of Minas Gerais, in the second half of this year. The initial investment in this new facility is $15 million. Valmet intends to produce 1.5 million square meters of filter elements, with plans to expand production to 2.5 million square meters, serving sectors such as mining, chemicals, and paper and pulp.
Thanks to significant investments, Brazil's central-west region is a pulp hub. Chilean company Arauco is building its first pulp mill in Inocencia. The investment is valued at $5 billion. Bracell is also making progress in the region, with plans to invest $4 billion in constructing a factory in Agua Clara.
A consortium led by Norway's Equinor, with the participation of Repsol Sinopec of China and Petrobras, is investing $9 billion to develop the Raia project in Campos Basin, Rio de Janeiro, to explore natural gas. Another important project developed by Equinor, in partnership with ExxonMobil and Petrogal Brasil, is the Bacalhau field in the Santos Basin, Sao Paulo. The $8 billion investment in the first phase is expected to be completed this year.
Stellantis will invest $7 billion in Brazil by 2030. The funds will be allocated to the automotive hubs in Betim in Minas Gerais, Porto Real in Rio de Janeiro, and Itauna in Minas Gerais. The group will also invest $3 billion to expand its supply chain, new technologies, and launch products at its Goiana, Pernambuco, unit by 2030.
Volkswagen intends to invest $2.5 billion in its factories in Sao Paulo by 2028. The largest volume of resources will be directed to the Sao Bernardo do Campo unit to produce two new vehicles scheduled for launch in 2026 and 2027. The remainder will be invested in the factories in Taubate and Sao Carlos. Volkswagen has also allocated $600 million to its Sao Jose dos Pinhais unit in the metropolitan region of Curitiba. The funds are being invested to develop production lines for two new vehicles.
In February, Vale, one of the largest mining companies in the world, announced its intention to invest $12.77 billion by 2030 to expand iron ore and copper production, in addition to investments in technology, health, safety, and sustainability. One of the largest investments in Brazil in the coming years, the funds will primarily impact the Carajas region, which accounts for more than half of the company's production.
