Germany's Woco planning second molding plant in Mexico

By Stephen Downer
Correspondent

Published: September 19, 2012 6:00 am ET

Related to this story

Topics Automotive, Injection Molding

QUERÉTARO, MEXICO (Sept. 19, 10 a.m. ET) — Tier 1 auto industry supplier Woco Group appears likely to build a second manufacturing plant in Mexico as it aims to keep pace with the rapidly expanding Mexican automotive industry.

A spokeswoman for the family-owned German company, whose customers in Mexico include Volkswagen AG, BMW AG and Ford Motor Co., told Plastics News a decision on the plant’s location will be made within 18 months.

In late August, Woco of Bad Soden-Salmünster, in the German state of Hesse, announced a $12 million expansion of its Querétaro facility, 140 miles northwest of Mexico City, opened in 2007 and operated by Woco Tech de México SA de CV.

An additional $18 million will be invested in machinery and auxiliary equipment for the plant over the next four years, according to Samuel Ramos Otero, director of Woco operations in the North American Free Trade Agreement zone, in a news release.

Woco estimates Querétaro will generate sales of about $65 million by 2016, accounting for 15 percent of its global sales, Ramos Otero said. "We have invested heavily in technology and quality systems, with which we are currently in a position that allows us to face any challenge that the automotive industry in NAFTA may present."

The $12 million is being used to increase the size of the factory from 64,600 to 107,600 square feet and for the purchase of new injection molding equipment.

The Woco spokeswoman said about $2 million is being invested in several new presses, one with a clamping force of 1,000 tons, another of 500 tons and one or two of 200 tons, which are scheduled to be installed over the next few months.

The company’s favorite suppliers of injection molding machines are Krauss Maffei Technologies GmbH and Arburg GmbH + Co KG. Already installed in Querétaro are presses ranging in clamping force from 70 tons to 500 tons. They include one 70-ton press, four of 100 tons, two of 130 tons, three of 200 tons and two each of 400 and 500 tons.

Plastic injection molding and the assembly of plastic parts represent between 50 percent and 60 percent of all activities at the plant, which employs 300, about 210 of them in manufacturing, the spokeswoman said. Ramos Otero added that he expects Woco to double the number of employees there within several years.

Items produced include cylinder-head covers, air-intake and channeling components, and actuators.

On its website, Woco — which started manufacturing operations in Mexico in Querétaro, in 1993 — lists 18 vehicle makers and 29 suppliers among its customers.


Comments

Germany's Woco planning second molding plant in Mexico

By Stephen Downer
Correspondent

Published: September 19, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

RPC Group buying Iceland's Promens

November 27, 2014 8:46 am ET

In a major acquisition that combines two rigid packaging companies with international footprints, RPC Group plc has signed a 399 million euro ($497...    More

Image

Large part molder EnviroTech in 'growth mode,' adds space, equipment

November 26, 2014 9:54 am ET

Salt Lake City-based EnviroTech Molded Products Inc. is adding new equipment and expanding its factory as it gains business in some of its...    More

Image

Visteon in talks to sell its stake in Halla Visteon Climate Control JV

November 26, 2014 9:07 am ET

Visteon Corp. confirmed this morning that it is in discussions with a private equity firm to sell its stake in South Korean joint venture Halla...    More

Image

Globalization brings sizable growth, primarily in Asia

November 25, 2014 1:40 pm ET

In 1990, the year after Plastics News published our first issue, there were 33,000 injection molding machines sold worldwide. Fast forward to 2013,...    More

Image

Uni Cap to build cap molding plant in Jordan

November 25, 2014 12:57 pm ET

The Persian Gulf's largest molder of caps and closures is investing $10 million in a new factory near Amman, Jordan, as part of an effort to boost its...    More

Market Reports

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 billion plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events