VW to build $550 mn engine plant in Mexico

January 29th, 2011 - 12:45 pm ICT by IANS  

Mexico City, Jan 29 (IANS/EFE) The Mexican subsidiary of German automaker Volkswagen plans to invest $550 million in construction of an engine plant in the central city of Silao.The project will generate 700 new direct jobs in the medium term and promises to bolster the economy of the surrounding state of Guanajuato, Volkswagen de Mexico said in a statement.

Guanajuato Gov. Juan Manuel Oliva joined VW executives Thursday at the ceremonial laying of the cornerstone of the new facility in Silao.

“This engine plant writes a new chapter in Volkswagen’s success story in Mexico spanning more than 50 years,” Hubert Waltl, VW’s global production chief, said at the ceremony.

The factory is supposed to start production in 2013, turning out 330,000 latest-generation engines a year for vehicles assembled at VW plants in Puebla, Mexico, and Chattanooga, Tennessee.

Also present Thursday was Volkswagen de Mexico’s chairman, Otto Lindner, who touted the subsidiary’s 2010 output of 435,000 vehicles.

–IANS/EFE
rd

Related Stories

Tags: , , , , , , , , , , , , , , , , , , ,

Posted in Business |

Subscribe