Auto component major Motherson Sumi Systems on Tuesday has signed an agreement to acquire the activities of Electrical Wiring Interconnection Systems (EWIS) performed at Bombardier Transportation’s manufacturing site in Huehuetoca, Mexico (BT Ensambles México).

MRS is part of the Motherson Rolling Stock Division which designs and manufactures electrical cabinets, power packs and electrical distribution systems for leading rolling stock manufacturers.

The transaction includes the transfer of assets, employees and inventories, on a debt-free and cash-free basis and is valued at around US $ 10 million approx, the auto component maker said in a release. The transaction is subject to customary closing events and expected to complete in Q4 FY20-21, it added.

Vivek Chaand Sehgal, Chairman, MSSL said, “Our focus is always on adding value to our customers’ supply chain and catering to their requirements. This is another step forward in that direction. We are further strengthening the relationship with Bombardier under the global partnership agreement and our collective strength will position us as a preferred solutions provider to our customers in the rolling stock business.”

“The acquisition of the business will enable us to be a truly global partner to our customers as we get the opportunity to serve them in the North American market”, said Andre Gerstner, President, Rolling Stock Division, PKC Group.

According to Jim Vounassis, Chief Operating Officer, Bombardier Transportation “Bombardier Transportation aims to enhance its adaptability and agility to changing market conditions, in order to continue to increase its competitiveness and improve its global footprint. This divestiture is in alignment with our global transformation strategy of reducing the activities to our core- and integrating competencies.”

Source: ET Auto.com

(https://auto.economictimes.indiatimes.com/news/auto-components/motherson-sumi-systems-signs-pact-to-acquire-bombardiers-mexico-based-electrical-wiring-biz-for-us-10-mn/78773246)

Dachser Mexico, a subsidiary of global logistics provider Dachser, announces it is expanding its bonded warehouse facility located in Parque el Marqués at Querétaro, one of Mexico’s key manufacturing hubs. Addressing the growing needs of the market, this new state-of-the-art facility launched October 1.

Considered the crown jewel of the Bajio manufacturing region, Querétaro’s main manufacturing industries include automotive assembly, auto parts, aerospace and household appliances. The region touts a highly skilled manufacturing workforce of more than 176,000 people employed by over 1,300 companies in the region. Querétaro’s central location gives it access to more than 45 million people within a 350-kilometer radius.

“As Mexico’s manufacturing sector continues to grow, we are elevating our investment in the market to ensure supply chain fluidity in the region. Our goal is to help our customers maximize the potential Mexico has to offer,” said Edgardo Hamon, Managing Director, Dachser Mexico. “This newly expanded bonded warehouse facility in Querétaro will provide a competitive advantage to companies of all sizes and demonstrates Dachser Mexico’s continued commitment to the growth of this vital economic region.”

Utilizing Mikado, Dachser’s proprietary global warehouse management system, this expanded best-in-class bonded warehouse facility is equipped to support the manufacturing sector as well as other industries. It will offer 4,000 square meters of total warehouse space with an electrical sub-station on premises. It will also provide a wide variety of enhanced service capabilities as well as a competitive end-to-end solutions portfolio.

Some of these enhanced services include vendor managed inventory (VMI) system capabilities that enable customers to quickly replenish inventory without disruption. Also, safe storage is a top priority, as the site is also outfitted for the storage and handling of dangerous goods in accordance with compliance regulations. It is equipped with state-of-the-art fire alarm systems to ensure safe storage conditions.

Further, container yard services offer customers flexible storage solutions along with full and transparent access. Other services include UVA labeling with pick-and-pack outbound shipment services, process optimization from sender-to-buyer with extended distribution cut-off times and warehouse pick-up times. Moreover, the facility will be able to assist customers in meeting the dynamic challenges faced in their supply chains by providing flexible response times caused by seasonal and irregular demands.

“These investments are needed not only to boost support for our customers, but to also provide speed, reliability and simplicity in the supply chain to this economically important region,” added Mr. Hamon. “Leveraging Dachser’s global footprint and extensive network, Dachser Mexico will continue to invest in warehouse and distribution solutions that support seamless logistics benefitting our customers while reducing complexity.”

With more than 170 warehouses worldwide and over two million pallet spaces, Dachser offers its customers comprehensive supply chain solutions throughout the globe. As Dachser Mexico increases its presence in the area, businesses will have greater ability to reach more of their customers and markets.

Source: DC Velocity

(https://www.dcvelocity.com/articles/47473-dachser-mexico-expands-warehouse-facility-in-queretaro)

The maquiladora industry of medical devices in the state of Baja California could close the year with a generation of 85,000 jobs, since this sector, despite the contingency derived from COVID-19, has grown in labor, said the Ministry of Sustainable Economy and Tourism (SEST) of the state of Baja California.

“This sector started the year with 71 (new) jobs and despite the pandemic, we are going to close the year with more than 85,000 jobs, which speaks of the confidence there is to invest in Baja California”, explained the head of the SEST, Mario Escobedo Carignan.

The official said this within the framework of the delivery of 10,000 surgical masks to the General Hospital of Tijuana, donated by the Availmed company, derived from the efforts of the Maquiladora Industry and Export Manufacturing Association (INDEX) Zona Costa.

Availmed is a manufacturer of single-use disposable medical articles, which produces for major brands in the global market, is part of the industrial giant Flextronics and has a workforce of 3,100 employees in Tijuana.

Among other products it manufactures are catheters, devices for the treatment of vision, syringes, plastic parts, medical instruments and feeding bags for pathological treatments.

Escobedo Carignan previously reported that Medline Industries, another manufacturer in the medical sector, will expand in Mexicali. It has two manufacturing plants for its sterile surgical tray and Centurion divisions, where it will employ 2,200 employees. Likewise, the minister explained that the economic reactivation has been developed in a responsible manner, which has placed the entity as a leader in the economic reactivation of the country as well as in the generation of new jobs.

Source: Mexico Now, Forbes.

(https://mexico-now.com/medical-devices-industry-to-generate-85000-jobs-in-baja-california/)

The Monterrey based company Impulsora, a leader in Mexico in the commercialization of electrical, lighting and hardware equipment, signed an agreement with the American company Tesla to distribute and install batteries for the storage of electricity for the commercial and industrial sector.

In an interview Gabriel Arroyo, manager of Impulsora’s Energy Storage division, a firm that is part of the Nuevo León Energy Cluster, explained that this agreement will allow them to market the electrical energy storage units designed by Tesla in the United States.

“These batteries are made of lithium and are much more efficient compared to other materials. The battery modules, the inverters and the thermal system, among other components of the units, are pre-assembled and tested at the factory in an environmentally sealed box, ideal for the commercial and industrial sector that consumes electricity from medium voltage rates hours,” Arroyo explained.

He commented that the “Megapack,” the unit’s name, is available in 2-hour and 4-hour variants with capacity maintenance options, and inverter and battery module quantities can be configured to meet custom project requirements.

“These equipment, in addition to saving energy, save demand; one of its main uses is the ‘peak shaving’, where you literally ‘shave’ all these demand peaks that you have, because the CFE will take the maximum peak and charge the energy  based on that peak,” he said.

Source: Mexico Now, El Financiero.

(https://mexico-now.com/impulsora-and-tesla-sign-agreement/)

A $14 billion investment plan unveiled by the Mexican government on Monday focuses energy outlays on the refining business of Petroleos Mexicanos (Pemex), aiming to boost the state oil firm’s ability to process heavy crudes.

The plan, which comprises some 99 billion pesos ($4.65 billion) in energy projects, did not appear to include major new oil exploration and production investments, despite Pemex’s declining crude output and private sector lobbying for them.

The top item is a 54.7 billion peso project to complete a partly-built coking plant at Pemex’s Tula refinery in central Mexico. The project was begun by the previous government.

The so-called deep conversion refining project would allow more output of higher-value motor fuels like gasoline and diesel from Pemex’s mostly heavy crude production, while minimizing less valuable fuel oil.

The plan pledges 15.4 billion pesos for upgrades to Pemex’s existing coking plant at its northern Cadereyta refinery.

Another 25.2 billion peso investment is slated for a project to build a natural gas liquefaction plant at the southern port of Salina Cruz, where Pemex’s biggest refinery is.

Two smaller energy projects announced by officials include a Pemex ethane terminal at the Gulf Coast port of Pajaritos, as well as a new fertilizer plant.

The investment plan was announced by President Andres Manuel Lopez Obrador and business leaders on Monday morning to help to lift Mexico’s ailing economy.

Source: Reuters.com

(https://www.reuters.com/article/us-mexico-infrastructure-energy-idUSKBN26Q288)

SoftBank-backed used-car platform Kavak has become Mexico’s first tech “unicorn” after reaching a $1.15 billion valuation in its latest funding round last month, Chief Executive Carlos Garcia told Reuters.

The Mexico City-based startup has raised over $400 million in total funding since its founding four years ago, with Japan’s SoftBank, Hong Kong’s DST Global and U.S.-based Greenoaks Capital leading the recent round, Garcia said in an interview on Wednesday.

The company is SoftBank’s most recent Latin American investment to become a unicorn – lingo for tech startups valued at more than $1 billion – after delivery app Loggi and gym membership app Gympass, both from Brazil, and Colombian delivery app Rappi.

Japanese tech investor Softbank last year vowed to deploy $5 billion in the region, which Mexican investors praised as a potential game changer for young companies that struggle to fundraise locally.

“It’s really humbling for us to be the first Mexican unicorn. It’s something really important for the ecosystem in Latin America, and especially Mexico,” Garcia, 37, said.

Kavak, an online platform for buying and selling secondhand cars with operations in Mexico and Argentina, is laying plans to launch in Brazil early next year, Garcia said.

Kavak entered Argentina in August through its merger with used-car platform Checkars.

Garcia said he plans to hire 500 people within a year in Brazil, Latin America’s largest economy, adding to 800 current employees.

He expects Kavak to turn a profit in the next couple of years, and will consider going public within three years, he said.

Despite the hit of the coronavirus crisis, Garcia said traffic has recovered to pre-pandemic levels as shoppers seek alternatives to public transportation.

Nicolas Berman, a partner in Argentina’s Kaszek Ventures, one of Kavak’s largest shareholders, said investors were eyeing the long game in the used car industry, which represents $160 billion between Mexico and Brazil.

“It’s a massive market, and it’s completely underserved,” he said.

Source: Reuters.com

(https://www.reuters.com/article/mexico-kavak-idUSKBN26M4KA)