Thursday, April 3, 2025

Germany’s ZF Group to invest US $194M in Ciudad Juárez plant

German automotive supplier ZF Group will build a new US $194 million plant in the northern city of Ciudad Juárez, Chihuahua, to expand its e-mobility business in North America.

With over 22,000 square meters and an initial investment of US $150 million, the new plant will increase the production capability of the company’s current facilities in Ciudad Juárez. It expects to employ some 500 people in the next four years and begin production in 2024. 

ZF group will also open a research and development office in Nuevo León
ZF group will also open a research and development center in Nuevo León. (ZF Group)

With 16 plants in Mexico, the multinational company employs more than 25,000 people in the country and manufactures everything from airbags and seat belts to steering wheels and brakes, as well as suspension systems. The company currently employs some 7,000 people in Chihuahua, where it manufactures steering wheel systems and airbags.

“The e-mobility market continues to gain momentum in all major markets, and ZF is investing to match the growth trajectory in North America,” vice president of electrified powertrain technology John Hawkins said. 

He added that the investment in Ciudad Juárez will further establish ZF as a leader in advanced e-mobility technologies and as investors that are significantly contributing to the efficiency and range of electric vehicles.

The new plant is one of the latest in a growing list of the company’s investments in Mexico.

In February, ZF Group also announced it would invest 245 million euros (US $266.18 million) into the opening of a distribution center and expanding existing facilities near the city of Querétaro that manufacture brake safety systems and aims to create US $1 billion of the US $4 billion of sales by ZF in Mexico. 

The company is also building a research and development center in Nuevo León. According to the group, this research center will carry out “cutting-edge projects for autonomous and electric driving.”

With reports from El Economista and Mexico Industry

Have something to say? Paid Subscribers get all access to make & read comments.
Mexico's President Claudia Sheinbaum stands at the presidential podium looking out at an audience off-camera with her fist raised and her mouth open as if cheering. Behind her is a wall with the words in Spanish: Plan Mexico, Strenghtening the Economy and Well-Being, Mexico City April 3, 2025.

Sheinbaum unveils an even more ambitious version of her transformative Plan México

2
Sheinbaum said the projects she announced as part of Plan México will bring about more well-paid employment, less poverty and inequality, greater investment and production and more innovation.
A trading graph trending downwards

How is Mexico responding to the Trump tariffs?

0
How is the Mexican government set to react to the news coming out the United States and what can we expect in the near future?
Canadian miners and Mexican government officials inaugurate the new Torex Gold mining project in Guerrero

In Guerrero, Mexico’s biggest gold producer is about to get even bigger

0
Torex Gold's Media Luna mining project supports over 1,500 local service providers and offers training and financing to local companies, the president of the state business council said.