Information collected from media reports over the past month:

• Aerospace: American aircraft maker Hawker Beechcraft is joining forces with Mexican executive jet operator Aerolineas Executivas to build a new maintenance facility to serve private aircraft in the northeastern city of Monterrey.  The US$2.2 million project is planned to provide repair and painting services in the country’s second largest private aviation hub. (El Financiero, January 2, 2012)
• Automotive: Japan-based Nissan Motor Co. is preparing plans to build a new automobile factory in Mexico.  The new facility will add production capacity to the company’s two existing plants in Mexico which currently have capacity to produce over 700,000 vehicles a year. (Wall Street Journal, January 6, 2012)
• Automotive: Japanese automaker Nissan announced it will construct a new vehicle assembly plant in the central state of Aguascalientes at an estimated cost of US$2 billion.  The large-scale plan includes a supplier park nearby the new manufacturing facility, which will become Nissan’s third in Mexico. (Autoweek, January 25, 2012)
• Aviation: European aerospace manufacturer Airbus announced an order from Mexican airline Volaris for the purchase of 44 new A320Neo and A320 aircraft. The total value of the deal, planned for delivery 2015 – 2020, was estimated at approximately US$4 billion. (AFP, January 12, 2012)
• Aviation: U.S.-based aerospace manufacturer Hawker Beechcraft announced the sale of six new T-6C+ training aircraft to the Mexican Air Force, with the possibility of additional future orders.  The value of the deal was not specified. (Defense Media Network, January 11, 2012)
• Electricity: German electronics and electrical engineering giant Siemans inaugurated a Low Voltage Research and Development Center near the northeastern city of Monterrey. The company invested approximately US$22 million in the new facility, which will help to develop high efficiency electrical systems for Siemens products. (Reforma, January 13, 2012)
• Retail: Mexican grocery and general merchandise retailer Soriana announced plans to open 50 new sales locations in the country this year.  The company currently operates 558 stores across its five formats. (Reforma, January 16, 2012)
• Logistics: The Mexican affiliate of Philippines-based International Container Terminal Services Inc. (ICTSI) has begun construction on a new container handling terminal at the Pacific port of Manzanillo.  The new facility will require investment of US$250 million.  (Maquila Portal, January 17, 2012)
• Manufacturing: U.S. based safety systems manufacturer IMMI will install a new production plant in the northern city of Coahuila.  The US$49 million facility will produce safety equipment for fire trucks, helicopters, ambulances and other applications. (El Diario de Coahuila, January 13, 2012)
• Aerospace: U.S.-based aerospace manufacturer Ducommun will invest US$6.6 million in machinery and other equipment to upgrade its factory at Guaymas, in the northwestern state of Sonora.  The project includes construction of a new industrial building at the facility, which provides electro-mechanical, sheet metal and composite assembly services. (NAFTA Works, January 2012)
• Logistics: U.S.-based rail carrier Kansas City Southern inaugurated a new rail freight handling terminal in the central State of Mexico.  Built at a cost of US$2.1 million, the terminal is equipped to handle a large volume of liquid cargo. (Info-Transportes, January 20, 2012)
• Aviation: Mexican airlines are projected to acquire 27 new aircraft in 2012, according to financial services firm Actinver.  Airlines expected to add to their fleets include Aeromexico, Interjet, Volaris and VivaAerobus. (Reforma, January 23, 2012)
• Retail: U.S.-based coffee shop chain Starbucks plans to invest US$25 million this year to open 50 additional locations in Mexico, the company reported.  Starbucks projects 24% growth in total Mexico sales this year, based in part on the country’s rising per capita coffee consumption. (El Financiero, January 24, 2012)
• Energy: Spanish bank Banco Santander will provide capital to build four wind farms in northern Mexico, in partnership with German wind energy developer SoWiTec.  The sites, to be built in the states of Nuevo León, San Luís Potosí and Coahuila represent combined capacity of 650 – 850 MW.  The amount of investment was not specified. (Milenio, January 23, 2012)
• Plastics: U.S.-based injection molding firm Century Mold Co. announced plans to build a new production plant in the central state of Queretaro.  The US$15 million facility will supply Tier 1 automotive component manufacturers in the region. (Plastics News, January 17, 2012)
• Retail: Mexican fast food franchise operator Alsea will open an additional 100 locations across its eight brands this year, the company announced.  Brands operated by Alsea in Mexico include Starbucks, Burger King, Chili’s and Domino’s Pizza, among others. (Reforma, January 26, 2012)
• Food processing: The Mexican affiliate of U.S.-based food processing giant Kraft Foods re-inaugurated its research and development center in Mexico City at a cost of US$50 million in technology and skilled staff.  The facility carries out research to improve the quality and development time for new products. (Reforma, January 26, 2012)

Information collected from media reports over the past month:

• Telecommunications: Finland-based telecommunications technology provider Nokia Siemens Networks inaugurated a new Service Delivery Center in Mexico City.  The US$2.4 million facility will provide design, planning, optimization and assurance support for telecommunications networks in Latin America, according to the company. (Nokia Siemens Networks, December 7, 2011)
• Metals: U.S.-based metals processor Ryerson Inc. recently opened a new processing center in the northwestern city of Tijuana.  The facility will provide services such as cutting, slitting and laser burning for the area’s large maquiladora and manufacturing industries. (Made in Mexico, Inc., November 7, 2011)
• Aviation: Mexican airline VivaAerobus announced plans to invest US$20 – 25 million in 2012 for the acquisition of five to seven new aircraft.  The company has registered strong growth since its launch in 2006. (Mexican Business Web, December 3, 2011)
• Mining: Canadian mining firm Excalibur Resources announced that it will proceed to develop a major gold and silver production facility at its Catanava mining property in Zacatecas, Mexico, following approval of permits by the Mexican government.  Plans for the development include the construction of office and warehouse space as well as crushing, milling, conveyance and laboratory installations. (Canadian Mining Journal, November 25, 2011)
• Retail: U.S.-based electronics retailer Best Buy announced plans to double the number of its sales locations in Mexico next year.  Best Buy, which entered the Mexican market in 2008, plans to expand from eight to 16 stores in Mexico in 2012. (Reforma, November 29, 2011)
• Automotive: German automotive and electrical components manufacturer Bosch estimated total investment in Mexico of over US$78 million for 2011.  The resources went principally to upgrade machinery and tooling for the company’s 13 production plants in the country, Bosch Mexico president Charles Visconti revealed. (NAFTA Works, December 2011)
• Automotive: Japan-based Neaton Auto inaugurated a new production plant in the central state of Queretaro.  Built at a cost of US$53 million, the facility will manufacture air bags for OEMs Nissan, Honda and Toyota. (Corresponsal del Bajío, November 3, 2011)
• Plastics: Spanish automation components and plastics manufacturer Matz-Erreka inaugurated a new expansion at the plant of its Mexican affiliate Erramex in the central state of Queretaro.  The US$3 million capacity addition will produce precision components for clients such as Valeo, Hutchinson, ZF Sachs and others. (El Financiero, December 5, 2011)
• Energy: Spain-based gas multinational Gan Natural Fenosa announced plans to invest approximately US$65-70 million annually in Mexico over the next 13 years to expand its gas distribution network.  The company seeks to double its existing 15,000 km of pipeline over this period. (El Financiero, December 15, 2011)
• Aerospace: French aircraft component maker Manoir Industries inaugurated a new manufacturing plant in the northern state of Chihuahua.  The US$10 million facility will join the state’s growing aerospace cluster, producing turbine blades and parts for braking systems. (Chihuahuan Frontier, December 1, 2011)
• Manufacturing: U.S.-based Mars company’s Mexico subsidiary inaugurated a new pet food manufacturing plant in the western state of Jalisco.  The US$60 million facility will produce moist food products for dogs and cats. (Excelsior, December 12, 2011)
• Logistics: Danish marine transport group A.P. Moller-Maersk subsidiary APM Terminals will invest US$900 million to construct a new container handling terminal at the Mexican port of Lázaro Cárdenas.  The facility is planned to include 5,000 feet of dock space and an on-dock rail yard. (El Financiero, December 30, 2011)

Read about our participation in the Mexico Today program here.

Information collected from media reports over the past month:

• Beverage: Netherlands-based Heineken International, through its Mexican brewing operation Cuauhtemoc Moctezuma (CM), invested over US$37 million to boost sales of the brewery’s Carta Blanca beer brand.  Resources were channeled into areas such as a new returnable bottle, label design and delivery truck modifications.  CM was acquired by Heineken in 2010. (Vanguardia, October 28, 2011)
• Energy: Mareña Renovables Capital, S.A.P.I. de C.V., controlled by an investment consortium led by Australia’s Macquarie Group, will build Mexico’s largest wind farm to date in the southern state of Oaxaca.  The 396 MW electricity generating site will supply energy to beverage giant FEMSA, which will co-finance construction with assistance from a US$72 million loan from the Inter-American Development Bank (IDB). (Inter-American Development Bank, November 24, 2011)
• Logistics: Mexico’s rail freight operators are projecting combined investment of approximately US$350 – 450 million annually in the coming years, according to the Mexican Railroad Association.  Resources are targeted principally for modernization and upgrade of infrastructure. (Reforma, November 9, 2011)
• Energy: Mexico’s Federal Electricity Commission (CFE) is projecting that public agencies and private companies will invest a combined US$10.5 billion to expand the country’s natural gas pipeline network.  Projects include eight new pipelines, which will help support planned conversion of power plants from fuel oil to natural gas. (Reforma, November 9, 2011)
• Automotive: U.K.-based auto parts manufacturer GKN Driveline is projecting total investment in its Mexico operations at US$46 million for 2011.  The expenditures are focused on reinforcing metal forming, machining and assembly operations to increase production at the company’s three plants in the central state of Guanajuato. (Reforma, November 21, 2011)
• Pharmaceutical: German pharmaceutical manufacturer Boehringer Ingelheim inaugurated a new production plant in the western state of Jalisco.  The US$10 million facility will produce biological veterinary products for poultry, swine and cattle applications. (NAFTA Works, November, 2011)
• Retail: Mexico’s national retailers association ANTAD is projecting total investment of US$3.6 billion in new store openings and remodeling for 2011.  The sector has performed well this year despite the uncertain economic climate, with leading grocery and general merchandise chains Wal-Mart and Chedraui reporting total sales growth of 12% and 11.9%, respectively, through September. (Reforma, November 7, 2011)
• Biotechnology: The central state of Morelos plans to invest approximately US$25 million to establish a biotechnology park in the city of Cuernavaca.  The state is offering a series of incentives that they project will attract some 40 – 50 research and manufacturing operations to the facility.  (Reforma, November 11, 2011)
• Logistics: U.S.-based university The Georgia Institute of Technology, in conjunction with Mexico’s Monterrey Technological Institute (ITESM), recently opened a Trade and Logistics Innovation Center in Mexico City.  The center will provide executive education and advanced research in areas such as lean supply chain, transportation, warehousing, inventory, trade and supply chain strategy.  (GlobalAtlanta.com, September 29, 2011)
• Automotive: U.S.-based auto parts manufacturer TRW Automotive Holdings Corp. announced it will open a new production plant in the central state of Queretaro in 2012.  The planned facility machine aluminum components and assemble advanced brake systems in a clean-room environment.  The amount of investment was not reported. (American machinist, November 23, 2011)
• Telecommunications: Mobile network operator Nextel de Mexico is projecting investment of approximately US$1.4 billion over the next five years.  The company currently reports a client base of 3.5 million subscribers in Mexico. (Mexican Business Web, September 21, 2011)
• Aerospace: Canadian aerospace manufacturer Héroux-Devtek inaugurated a new production plant in the central state of Queretaro this month.  The US$20 million facility will produce aerostructure components for OEMs also located in the fast-growing Queretaro aerospace cluster, the company announced. (Héroux-Devtek press release, November 15, 2011)
• Railroads: Mexico’s rail freight operators project investment of a combined US$500 million in 2012.  Companies including Ferrocarril del Sureste, Ferromex, Kansas City Southern, Ferrocarril Tijuana-Tecate and Ferrocarril Coahuila-Durango will channel the resources into infrastructure development and new equipment. (El Financiero, November 15, 2011)
• Automotive: German heavy vehicle manufacturer MAN Truck & Bus, via its Mexican subsidiary, will invest US$15 million to expand and upgrade capacity at its plant in the central state of Queretaro.  The resources are earmarked to outfit work stations and supply lines for the production of 14 new vehicle models. (Reforma, November 22, 2011)
• Retail: DIY retailer The Home Depot announced aggressive expansion plans for 2012, projecting investment of US$143 million in a drive to increase its Mexico stores from 91 to 100.  The Home Depot acquired Home Mart in Mexico in 2004 and is currently the country’s largest home improvement and construction products chain. (Mexican Business Web, November 24, 2011)

Information collected from media reports over the past month:

• Retail: USA-based apparel marketer Warnaco revealed plans to open approximately 30 new stores in Mexico over the next two years.  Mexico sales were up by 39% through the first half of 2011 for the marketer of brands such as Calvin Klein and Speedo. (Reforma, August 25, 2011)
• Logistics: Mexican cargo terminal operator Ferrovalle Intermodal announced a US$10 million expansion to its rail cargo handling facilities in Mexico City to be carried out this year.  The addition of 25 developed acres to the terminal will increase annual handling capacity to over 550,000 containers and speed last-mile deliveries. (Reforma, August 1, 2011)
• Entertainment: Mexico City’s largest film studio, Estudios Churubusco, will expand with the construction of a new post-production building.  The investment of approximately US$20 million will include over 30,000 square feet of digital laboratory space, production warehousing and offices. (Reforma, September 6, 2011)
• Infrastructure: Spanish infrastructure developer OHL Group, through its environmental subsidiary Inima, will build and operate a large-scale desalination plant in the northern Mexican state of Baja California.  The US$41 million facility is planned to produce 275 million cubic feet of potable water annually. (Reforma, September 7, 2011)
• Energy: Spanish renewable energy developer Siliken will invest US$20 million initially to build and launch a 100 MW solar power plant in the northern state of Durango.  The project is planned to include a research and development center in addition to generating electricity. (Milenio, September 8, 2011)
• Autoparts: Japanese industrial automation manufacturer Omron Corporation will invest US$30 million to build a new production plant in the central Mexican state of Guanajuato.   The facility will join recently announced new factories to be built by Honda and Mazda in Guanajuato’s growing automotive industry. (El Sol de Irapuato, August 27, 2011)
• Biotechnology: Mexican agricultural biotechnology laboratory Biosustenta inaugurated a new plant to produce biofertilizers in the western state of Michoacán.  The US$1.3 million facility will use mycorrhizal fungi and other bacterias to produce the fertilizers.  Biosustenta currently exports product to the United States, Canada and Europe. (El Financiero, August 30, 2011)
• Infrastructure: Quintana Roo state port authority Apiqroo will oversee the construction of a new cruise ship dock on the tourist island of Cozumel.  The US$40 million terminal is planned to serve the growing traffic of cruise ships to the resort island south of Cancun. (El Financiero August 30, 2011)
• Mining: Mexican mining concern Minera Autlán revealed plans to invest US$300 – 400 million over the next five years in a range of expansion initiatives.  Projects to be carried out include development of a new manganese mine, construction of a new ferroalloys plant and diversification of their manganese products to serve additional industries. (Reforma, September 9, 2011)
• Energy: Spanish energy developer Preneal will construct a wind-powered electricity generation plant in the northern state of Zacatecas, state officials announced.  The US$300 million project is projected to have an installed capacity of 100 MW. (Milenio, September 4, 2011)
• Electronics: USA-based Spellman High Voltage Electronics Corp. inaugurated a new manufacturing and testing plant in the border city of Matamoros.  The US$15 million facility will provide additional capacity for the production of power supplies and X-ray generators as well as testing for Spellman’s other production plants. (El Mañana de Reynosa, August 18, 2011)
• Food processing: U.S.-based PepsiCo is nearing completion of a new Advanced Baking center under construction at the Research and Technology Innovation Park in the north eastern state of Nuevo León.  The US$20 million facility will develop new baked products for the company’s Gamesa and Quaker brands. (Reforma, September 13, 2011)
• Chemicals: Mexican industrial group Grupo Cydsa announced plans to invest over US$100 million to build two new manufacturing plants and expand a third.  The new facilities will produce bleach, caustic soda and other chemical products, while expansion is planned for the company’s existing salt refinery in the Gulf state of Veracruz. (El Financiero, September 13, 2011)
• Retail: Upscale Mexican department store chain Liverpool will invest up to US$450 million to open seven new stores in Mexico in 2012.  Same-store sales rose 8.4% in 1H11 for the leading retailer and mall operator. (CNN Expansión, September 13, 2011)
• Manufacturing: Danish toymaker Lego announced plans to invest US$100 million in its manufacturing plant located in Monterrey, Nuevo León.  The resources are earmarked to expand capacity at the facility, which makes products for the Mexican market as well as for export to the USA and Canada.  Lego sales in Mexico are growing by double digit percentages annually. (El Financiero, September 14, 2011)
• Energy: Mexican energy consortium Baja Sun energy will invest over US$500 million to develop a major complex in Baja California that will manufacture solar panels as well as generate solar electricity.  Investors include Arima Eco Group of Taiwan, joint U.S.-Mexican solar developer Silicon Border and Mexican specialized builders Grupo Maíz. (San Francisco Chronicle, September 12, 2011)
• Retail: U.S.-based DIY retailer The Home Depot announced planned investment of US$260 million in Mexico by the end of 2012.  The resources will support the opening of 13 new stores in the country to reach a total 100 locations. (Reforma, September 22, 2011)
• Pharmaceutical: Mexican pharmaceutical laboratory Landsteiner Scientific began construction on a new research center in the central city of Toluca to be built at a cost of approximately US$37 million.  The site is planned to include facilities for research as well as the production and distribution of medications. (Bolsa Mexicana de Valores, September 20, 2011)

To read about our participation in the Mexico Today program, go here.

• Agribusiness: Mexican agricultural services provider Phytosan inaugurated a new phytosanitary radiation plant in the northeastern state of San Luis Potosi following investment of US$12 million.  The facility, the only one of its kind in Mexico, will be used to treat fruits and vegetables for export to the United States.
• Automotive: Japanese automaker Honda plans to invest US$800 million to build a new manufacturing plant in the central state of Guanajuato.  The new factory, planned to begin production by 2014, will produce energy-efficient subcompact autos. Honda currently operates an automobile factory in the western state of Jalisco.
• Hospitality: U.S.-based hotelier La Quinta Inns & Suites announced plans to invest US$60 million to expand operations in Mexico over the next three years.  Projects are expected to include new hotels in business hubs such as Mexico City, Ciudad Juarez, Reynosa and San Luís Potosí, among other locations.
• Automotive: Japanese automaker Honda will reactive investment plans at its manufacturing plant in the western state of Jalisco.  US$60 million in resources are earmarked to install equipment and technology needed to produce the company’s next model CR-V recreational vehicle.
• Automotive: U.S. auto parts maker TRW Automotive announced it will invest US$50 million to install a new manufacturing plant in the central Mexican state of Queretaro.  The new facility reportedly will produce anti-lock braking systems to supply Volkswagen Brazil.
• Mining: Mexican corporate group GFM has formed a joint venture between its heavy equipment subsidiary GFM Maquinaria and Singapore-based Singapore Technologies Kinetics to market mining equipment under the brand TRXBUILD.  The association plans to build a factory to produce equipment such as backhoes, tractors and off-road trucks in Mexico within five years through projected investment of US$20 million.
• Pharmaceutical: Mexican pharmaceuticals manufacturer Grupo Silanes will invest US$20 million to construct a new production facility in the city of Toluca, near Mexico City.  The plant will produce the company’s Anascorp antidote for scorpion stings, recently approved for sale in the United States by the U.S. FDA.
• Real Estate: U.S.-based real estate developer Bald Mountain Development is preparing to construct a luxury hotel and housing complex in the central Mexican city of San Miguel de Allende.  The US$250 million project may be followed by two similar developments elsewhere in the country, according to the company.
• Aviation: U.S. commercial air carrier Delta announced a US$65 million investment in Mexican carrier Aeromexico in exchange for stock and a seat on the Mexican airline’s board of directors.  The deal includes additional US$20 million investments from each company to expand joint maintenance and repair capabilities in Mexico.
• Steel: Mexican steel industry leader Altos Hornos de México (AHMSA) announced US$493 million in new investment to conclude an ongoing production capacity expansion project.  The steel giant seeks to enhance capability to produce specialized steels for automotive, metal mechanic and other manufacturing industries.
• Retail: Mexico’s ANTAD national retailers’ association announced combined investment of US$3.6 billion by its members projected for 2011.  First half retail sales were up 10.3% in nominal terms and 3.8% for same-store sales this year, the group reported.
• Mining: Mexico’s mining industry chamber Camimex reported its members will invest US$848 million in exploration of new deposits this year.  The record sum is driven in part by surging demand for gold on world markets.
• Logistics: Germany-based courier DHL Express will open 24 new sales locations in Mexico in 2011 at a cost of approximately US$2.5 million, in addition to opening a new gateway site in Monterrey this year.  The expansion is part of a five-year US$125 million investment program for the company’s Mexico operations.
• Infrastructure: Mexico’s Communications and Transportation Ministry (SCT) announced it will issue a tender for road construction in the western state of Michoacan by the end of this year.  The contract package for construction and widening of highways in the state will have a projected value of approximately US$450 million.
• Energy: British oil and gas infrastructure services provider Petrofac announced plans to invest US$200 million in Mexico over the next two years.  Petrofac recently was awarded two contracts by state oil monopoly Petroleos Mexicanos (Pemex) to increase output at mature oil production sites in Mexico.

Read about our participation in the Mexico Today program here.

• Aerospace: Mexican aerospace manufacturer Hydra Technologies closed the first sale of its Ehecatl unmanned aircraft to a foreign customer at the Paris Air Show this month.  Hydra’s export order by a Canadian buyer, the value of which was not revealed, includes six aircraft, supporting equipment and services.  The contract represents the first export order of completed aircraft designed and built by a Mexican company, a major step forward for the country’s burgeoning aerospace industry.
• Automotive: Japanese automaker Mazda at long last confirmed rumors that it will build a major new production facility in the central Mexican city of Salamanca, Guanajuato State.  The US$500 million facility, planned to produce next-generation engines and automobiles, is scheduled to open in 2013.
• Trade: Chinese trade promotion agency Chinamex announced plans to build a Dragon Mart shopping center in Cancun, Mexico, via initial investment of US$150 million.  The complex, which will offer exhibition space, importation facilities, retail and wholesale outlets and restaurants, is intended to promote exports by small and medium sized Chinese companies.
• Logistics: Mexican courier and logistics company Redpack inaugurated a new Operations Center in the western city of Guadalajara, Jalisco.  The US$6 million facility provides freight yards, warehousing, loading docks and office space to facilitate the company’s freight management for the western region.
• Automotive: Platinum Tool Technologies, a Canadian manufacturer of molds for the automotive industry, formally inaugurated its plant in the northern state of Coahuila following US$1.75 million in investment. The facility provides high quality repairs, maintenance and engineering changes for molds and tooling.
• Health care: A consortium of public and private institutions in Monterrey, Nuevo León, is projecting investment of US$400 million over the coming years to develop a health care cluster to be called “Monterrey City of Health”.  The project involves hospitals, laboratories, universities and research centers, and is intended to attract patients and health professionals from elsewhere in Mexico and around the world for advanced care and professional opportunities.
• Steel: South Korean steel maker Posco announced plans to invest US$300 million to build the second stage of a galvanized steel plant in the northeastern state of Tamaulipas.  The producer of steel for Mexico’s auto industry announced that the pace of expansion of its Mexico operations was among the fastest in its history.
• Cosmetics: Turkish cosmetics laboratory B’iota will invest US$30 million in an effort to enter the Mexican market for their skin care products.  The company is specifically targeting the segment of depilatory products, which expanded by a reported 76% in 2010.
• Logistics: U.S.-based operator of industrial distribution facilities Prologis plans to invest up to US$88 million in its recently inaugurated Ladero Intermodal Terminal & Industrial Park outside of Mexico City.  US$14 million of the resources were used to open the first phase of the facility.  Prologis became the world’s largest operator of its type this year through a merger with AMB Property Corporation.
• Tourism: Mexico’s first domestically owned and operated cruise ship line, Ocean Star Cruises, is investing US$100 million in the first phase of its service launch this year.  The company began offering routes along the country’s Pacific coast in April 2011 with calls at Puerto Vallarta, Cabo San Lucas, Manzanillo, Ixtapa and other locations.
• Energy: Spanish energy multinational Abengoa will build a new electricity generating plant in the northwestern state of Baja California Sur.  The US$91 million power plant is projected to come on line in 2013.
• Energy: Spanish solar panel manufacturer Siliken inaugurated a new US$27 million production plant in the northern city of Tijuana, near San Diego.  Siliken joins Kyocera and United Solar Systems in Tijuana’s solar manufacturing community.
• Mining: Canadian mining company Goldcorp will invest US$400 million to expand gold and silver operations at three of its mines in the northern state of Zacatecas.  Goldcorp’s aggressive growth in the area is a key part of robust activity currently taking place in the Mexican mining industry.

Please see About for our Mexico Today participation disclosure

Reports on some recent and upcoming investment collected from the local business media:

• Beverage: Mexico’s leading beer producer, Grupo Modelo, announced plans to invest US$400 million in 2011 in upgrades and expansion.  Resources are earmarked for improvements to the company’s production plant in Coahuila and to support market share gains in the U.S., Canadian and Australian markets.
• Automotive: Italian tire maker Pirelli is initiating construction on a new US$210 million production facility in Mexico’s central state of Guanajuato.  The major plant will produce car and truck tires for the domestic Mexican market as well as for the rest of North America.
• Food processing: Snack food and beverage giant PepsiCo inaugurated a new Financial Services Center in Mexico City.  The US$2.7 million facility, which will handle financial and administrative corporate operations for Central America and the Caribbean, is part of the company’s five-year plan to invest US$3 billion in the region in infrastructure and community relations.
• Energy: Spanish energy conglomerate Gas Natural Fenosa revealed upcoming investment plans for Mexico including approximately US$60 million for natural gas distribution projects and US$50 million for electricity generation.  The company’s electricity generating capacity in Mexico represents 15% of the country’s independent production capacity, according to their own estimates.
• Information technology: Tech giant IBM recently opened a new Innovation Center in the Santa Fe area of Mexico City.  The center, which joins the company’s global network of 39 such sites, provides services such as training and testing facilities, consulting, technical infrastructure and marketing assistance.
• Logistics: French processed foods maker Danone inaugurated a new US$24 million distribution center in the central Mexican state of Guanajuato.  The facility, which reportedly includes the largest refrigeration system in Mexico, will boost distribution of the company’s yogurt and bottled water products in the country.
• Autoparts: U.S.-based autoparts manufacturer Delphi Packard began construction on a new production plant in the northern state of Durango.  The US$11 million facility is planned to manufacture electrical parts and harnesses. Delphi already operates 43 other plants in Mexico.
• Aerospace: Mexican manufacturing facilitator American Industries plans to build a new aerospace-focused industrial park in the central state of Queretaro.  The planned US$80 million AeroTech Industrial Park will support the state’s continually expanding aerospace manufacturing cluster.
• Real estate: Mexican commercial real estate developer Mexico Retail Properties (MRP) will initiate construction next month on two new shopping centers in Mexico City.  The two developments, representing investment of US$250 million, will be among the first in Mexico to utilize Asian-style vertical distribution.
• Aerospace: Canadian aerospace manufacturer Héroux-Devtek announced it will build a new production plant in the Parque Aeronáutico Querétaro in Central México.  The US$21 million facility, which joins Querétaro’s burgeoning aerospace industry, will produce components principally for Canadian aircraft maker Bombardier.

Reports on some recent and upcoming investment collected from the local business media:

• Water treatment:  Mexican sugar producer Grupo Azucarero México (GAM) revealed it will begin construction next month on a new waste water treatment plant.  GAM has invested US$35 million over the past four years in automation process technology, as well as a system for generating electricity through steam produced by burning cane bagasse.
• Logistics: Guanajuato’s Guanajuato Interior Port multimodal logistics center will enter a new phase of expansion in the coming months.  Approximately US$55 million in new investment will be carried out to expand existing infrastructure at the site, which includes Customs facilities, a free zone, ground and air cargo handling services, industrial yards and related operations.
• Automotive: German engine components maker Getrag Transmissions Manufacturing inaugurated a new production plant in the central city of Guanajuato.  The US$500 million facility will manufacture transmissions for the Ford Fiesta line being built at Ford’s Cuautitlan Izcalli plant outside Mexico City.
• Manufacturing: French digital media manufacturer Technicolor will begin making 3D Blu-ray discs for Warner Brothers at its Guadalajara plant this year.  The company is investing US$11.4 million in the plant to boost production capacity.
• Green building: Mexican developer Homex announced plans to develop four new housing complexes in north western Mexico based on the concept of Integrated Sustainable Urban Developments.  The first of these complexes will require investment of US$27 million and all will incorporate green building technologies.    
• Real estate development: Cancun’s new mega convention center Cancun Messe, currently under construction, plans to open to the public to host the Latin American Food Show in September.  The expo center, which seeks to become the largest in Latin America, will have cost a projected US$270 million once complete.
• Aerospace: Bell Helicopter inaugurated a new manufacturing plant in the northern city of Chihuahua this month.  The plant will produce parts for Bell’s model 429 helicopter.
• Water treatment: Leading tequila producer Herradura inaugurated a new US$6.5 million water treatment plant at its production facility in Amatitan, Jalisco.  Herradura also announced additional investment of US$5 million to expand production capacity at the plant.
• Electronics: IT and electronics giant IBM recently invested US$20 million in its manufacturing plant at El Salto, Jalisco, to support production of data storage equipment for export.  The company reiterated its commitment to maintain and expand its Mexico operations.
• Rail freight: Railrod operator Kansas City Southern de Mexico announced plans to invest US$80 million to develop a freight terminal in the western state of Michoacan.  The terminal is intended to serve freight coming through the port of Lazaro Cardenas on Michoacan’s Pacific coast.
• Entertainment: Cinema operator Cinemex will invest US$9 million to develop a luxury movie theater complex in a large upscale shopping center currently under construction in the south eastern state of Tabasco.  The site will include VIP and 3D facilities.
• Aerospace: Canadian aerospace giant Bombardier announced plans to add five new plants to its existing manufacturing infrastructure in Mexico, via investment of US$300 million.  A stalwart of Mexico’s thriving aerospace industry, Bombardier advised it is considering investing a further US$100 million to increase its rail equipment manufacturing capacity in Mexico.

Reports on some recent and upcoming investment collected from the local business media:

• Steel:  Mexico’s steel manufacturing industry chamber of commerce Canacero projected investments of US$10 billion over the next five years to significantly boost production in the sector.  Canacero estimates production will increase 13.5% this year over 2009, when output dropped significantly.
• Airports: The Mexican Ministry of Transport (SCT) announced plans for three new airports to be constructed in 2010, with investment of US$36 million.  The local airport developments are planned for La Pesca in the northeast and the tourist sites Creel in the north and Palenque in the south.
• Transport: Inter-city bus operator Grupo IAMSA reported it plans to add 300 new luxury buses to its fleet this year.  The US$100 million investment is slated to go primarily to Volvo for the new buses.
• Aerospace: French aerospace manufacturer Grupo Safran inaugurated two new plants in an aerospace park in the central state of Queretaro, site one of Mexico’s leading aerospace clusters.  The approximately US$150 million investment set up plants for Safran’s affiliates Messier-Dowty and Snecma to produce jet engine parts and undercarriages.
• Solar power: BP Solar, the solar technology subsidiary of Great Britain-based energy giant BP, announced plans to subcontract the assembly of solar modules with Jabil Circuit in Chihuahua, northern Mexico.  Plans call for producing modules with a combined capacity of 45 MW, with the possibility for expansion as demand dictates.
• Retail: Mexican low-priced department store chain Coppel announced aggressive expansion plans, including forays into the Brizilian and Argentinian markets.  The program includes investment of approximately US$120 million and the opening of 100 new stores, principally in southern Mexico.
• Automotive: Japanese automaker Nissan announced it will begin producing its new model of the Micra compact automobile at the company’s plant in Auguascalientes, Mexico.
• Food processing: Mexican processed dairy products maker Chilchota reported plans to return to the retail milk market, which it had exited in 2000.  Chilchota will invest US$10 million to launch milk presentations for supermarket sale, despite heavy competition from market leaders Lala, Nestle and Alpura.
• Real estate: Spanish real estate developer Grupo Lar announced plans to reactivate stalled projects and launch new developments in Mexico in 2010.  The company will invest some US$40 million, principally in residential developments.
• Rail transport: Mexican railroad operator Ferrocarril del Valle de México (Ferrovalle) announced plans to invest approximately US$12 million this year in infrastructure and equipment upgrades.  The company is projecting an increase in container freight in 2010.
• Retail: Leading Mexican retailer Soriana revealed plans to invest US$200 million to open 42 stores under its new “Soriana Express” format.  The new format targets middle and lower middle class consumers in locations with populations of under 50,000.
• Retail: Leading office supplies retailer Office Depot announced US$60 million in upcoming investment, including the opening of 10 new stores in Mexico.  The chain opened seven stores in Mexico in 2009 despite the extremely depressed economy.
• Water management: The Mexican government announced upcoming tenders for water management infrastructure projects worth an estimated US$2.6 billion.  The government is seeking foreign investment for the projects which include aqueducts, water treatment facilities and desalinization plants, among others.
• Aviation: Mexican domestic airline Interjet announced plans to invest US$50 million to expand its MRO facilities at its base at the Toluca airport.  Since launching passenger service in December 2005, Interjet has grown to become Mexico’s fourth largest airline.  Interjet provides aircraft maintenance services to airplane leasing companies.
• Medical: Centro Medico ABC, one of Mexico´s leading private hospitals, will construct a new Neurosciences and Orthopedics Center in the upscale Santa Fe zone of Mexico City.  The announced US$16 million in investment in the project will include design services and acquisition of advanced technology clinical equipment, among other outlays.
• Industrial gas: U.S. industrial gases producer Praxair announced planned investment in Mexico of US$150 million in 2010.  Projects include a new air separation plant in Monterrey and upgrades to plants in the states of Hidalgo, Queretaro and Tamaulipas.
• Aerospace: Mexican industrial group Grupo Kuo, best known for its Herdez brand of processed foods, has announced it will enter the aerospace manufacturing industry this year.  The group, which also manufactures chemicals and autoparts, is in the process of obtaining SAE AS 9100B certification and hopes to begin manufacturing landing gear components by the end of this year.
• Logistics: The Queretaro Intermodal Terminal is projecting investment of up to US$100 million this year for expansion of land area and infrastructure.  The planned upgrades include construction of a new terminal for handling refrigerated cargo.

Movin' on up

Mexico rang in at number 50 out of 155 countries included in the World Bank’s Logistics Performance Index (LPI) for 2009, released last month.  OK so we’ve got some work to do, but the 2009 ranking does represent progress since coming in at number 56 on the 2007 Index.  Unfortunately, we’re not even number one in Latin America, which went to Brazil at 41, and we were also edged out by Argentina and Chile, ranked 48 and 49, respectively.  The Index awards each country points for the quality of their logistics industries in categories such as Customs, infrastructure, competence, tracking and timeliness.  Among the various categories considered, Mexico scored lowest on “Customs,” which is summarized as evaluating the “Efficiency of the clearance process (i.e. speed, simplicity and predictability of formalities) by border control agencies, including Customs.”  This comes as no surprise to those of us who have struggled with jarring arbitrariness and explanations of shipment detentions that are eyebrow-arching at best.  For what it’s worth, Mexico scored best on “Timeliness,” which either means we are embracing the service standards set by the wealthy economies, or we really have to work on those other categories.  In any case, at least we are climbing rather than dropping on the LPI.

To review the LPI in detail, go here:  World Bank LPI