Multinational automaker Stellantis announced plans on Wednesday to increase its investments in Mexico in 2025, projecting double-digit growth in the Mexican market as the company launches up to 15 new vehicle models over the next year.
The funding is earmarked for the expansion of its Saltillo, Coahuila, manufacturing plant, located around 50 miles from the business hub of Monterrey, Nuevo León.
La Planta Ensamble Camiones ubicada en Saltillo, Coahuila de Stellantis llegó a los 5 millones de unidades ensambladas. La mejor manera de celebrarlo fue con una Ram 2500 Power Wagon. ¿Qué les parece?@StellantisMX @RAM_MX #stellantis #ram #pickups #MemoLira pic.twitter.com/hWKzggYM9f
— Memo Lira (@AutosMemoLira) August 5, 2023
“Stellantis is committed to Mexico, and we want to continue investing in the country since we have a high-quality [level] of manufacturing, we are one of the best plants of the corporation,” Carlos Quezada, CEO of Stellantis Mexico told the newspaper El Economista. “The workers have great experience, and we have everything to be very competitive,” Quezada added.
Stellantis initially announced plans to expand its Coahuila plant, where it has been making trucks since 1995, in October.
Chrysler Brand Chief Executive Officer Christine Feuell said the Mexico plant expansion is moving forward and will serve as a “relief valve” for a Stellantis truck factory in the United States that is expected to eventually reach full production capacity.
The investment will boost production at Stellantis’s Coahuila facility to nearly 1 million engines, which is leading to market speculation over the announcement of a new RAM truck model.
Stellantis is also aiming for greater production of electric vehicles (EVs) at the facility, according to Quezada. The firm also began producing EVs at its $1.6 billion Toluca plant in August.
Stellantis México’s CEO highlighted several challenges facing the company in 2025, including the likely introduction of higher US tariffs under the new presidential administration of Donald Trump, who will take office on January 20, 2025.
“Starting in January, a lot will depend on the automotive industry and how the issue of tariffs … can affect the footprint of the companies that assemble and export to the United States,” explained Quezada.
In early December, Coahuila’s Governor Manolo Jiménez Salinas met in Rome with leaders from the automotive industry, including the directors of Stellantis Europe, to discuss the potential for new investment in the Mexican market.
“We strengthened ties, presented competitive advantages and talked about new initiatives from Italian suppliers that could soon arrive in Mexico,” the governor said, according to the news site ANSA Latina.
In Rome, Jiménez also met with Gianmarco Giorda, general director of the National Association of the Automotive Industry, which represents 470 companies. Giorda and other business leaders agreed to visit Mexico to promote investment and strengthen trade ties.
With reports from El Economista, ANSA Latina and MEXICONOW
