Wednesday, June 25, 2025

Steel company Ternium to invest additional US $4B in Nuevo León

Ternium, one of Latin America’s leading steel companies, has announced a major investment in Mexico as part of an ambitious expansion plan to be completed in 2026. 

Amounting to US $4 billion, the announced investment will go towards building additional steel manufacturing plants in the northern municipality of Pesquería in Nuevo León. The new facilities will produce cold-rolled, raw and galvanized steel for the automotive, appliance, construction, electric motor, plumbing and train equipment industries, among others. 

Ternium's plant in Pesquería, which received $4 billion in investment earlier this year.
Ternium’s plant in Pesquería, which received US $4 billion in investment earlier this year. (Ternium México)

Ternium CEO Máximo Vedoya said he has already shared the investment plan with President Andrés Manuel López Obrador and president-elect Claudia Sheinbaum. 

“We have already invested more than US $4 billion in certain plants [in Pesquería] and we’re now going to invest another 4 billion dollars in carrying out different processes,” Vedoya said in a press conference. He added that this investment will strengthen the value chain in North America, with the USMCA as its main driving force.

The move follows the ongoing construction of a Ternium steel mill in Pesquería which the company announced in March. This facility, once built, will have the capacity to generate 2.6 million tonnes of cast steel annually. 

Ternium’s investment in Mexico seeks to add value to the country, Vedoya said. 

“I’m convinced that in the North American region we have to work together, because the enemy is not the United States, not Mexico,” he stressed. “The enemy of Mexico and the United States are subsidies, and the aggressive policy of taking good jobs to Asia, mainly China and other satellite countries such as Vietnam and Malaysia.”

In February, official data released from the U.S. Census Bureau showed that Mexico surpassed China as its main exporter for the first time since 2002. However, experts pose that Mexico is in direct competition with Vietnam. 

“Mexico is not going to supplant all those imports from China,” Alberto Villarreal, director of Nepanoa, a Chicago-based company that helps foreign companies expand to Latin America, told the newspaper El País. He added that Mexico is competing “at a global level for those exports with other economies in Asia such as Vietnam, the Philippines, Singapore, which is a much more developed country, and with India.” 

For Vedoya, the USMCA is “a great treaty” for Mexico as it has helped the country increase its exports to the U.S. “This is what we need to continue to encourage,” he concluded.  

Ternium, which employs 20,000 people, operates nine industrial centers in Mexico, six of which are located in Nuevo León. Founded in Argentina, the company has had a presence in Mexico since 2007.

With reports from Forbes México and Mexico Industry

Have something to say? Paid Subscribers get all access to make & read comments.
bridge

Trump approves expansion of cross-border bridge connecting Eagle Pass and Piedras Negras

0
The expansion, which will take three years to complete, will double the available lanes from six to 12 and improve the trade bridge's infrastructure, paving the way for a greater volume of U.S.-Mexico trade.
Marcelo Ebrard

Mexico close to striking a deal on US steel tariffs, Bloomberg reports

0
Bloomberg reported on Tuesday that trade negotiations between the United States and Mexico are "homing in on a possible quota system to reduce tariffs on a certain volume of steel imports."
Group of men and women standing

Korean automotive SL MEX invests US $45M in San Luis Potosí

0
The company, headquartered in Gyeongsan, South Korea, specializes in headlight modules and expects to manufacture one million of them per year, generating 385 direct jobs.