News, Insights and Best Practices for Manufacturing in Mexico

Chrysler to expand its production in Mexico

29 Oct 2013

Category: Automotive Manufacturing, Manufacturing in Mexico

Many of the globe's top automakers have a presence in Mexican manufacturing, and Chrysler recently became the latest one to increase its commitment after it announced it will invest nearly $1.3 billion in two of its Mexican plants. Chrysler isn't new to manufacturing in Mexico, but MLive reported its Saltillo plant, which Chrysler has already invested $1.1 billion in, will receive another $164 million to construct an additional production line.

Saltillo is a key industrial cluster in Mexico, and Chrysler's plant is already a major influence in auto manufacturing in the area. In fact, Saltillo is second in Mexico in international exports and is home to some of the most experienced and specialized laborers in the country. According to Auto News, the further investment in Chrysler's Saltillo North engine maquiladora will allow the company to increase its international exports

The engine at the center of the enhancements is Tigershark. Two types of the Tigershark engine are used as the primary four-cylinder engine for the Dodge Dart and the Jeep Cherokee, Reuters reported, yet the additional production will allow the company to expand the number of product lines using the Tigershark engine. The Saltillo plant's investment will allow the company to hire another 470 workers to its factory, which already employs 6,500 people, Auto News reported. The maquiladora will also begin producing the Ram ProMaster van next year, according to USA Today.

Chrysler's continued investment in its offshored plants highlights the ongoing prominence of the Mexican automotive industry, especially in Saltillo.

"All of this would not be possible without the extraordinary spirit of collaboration we have found in both the federal and state governments," Sergio Marchionne, CEO and chairman at Chryseler, said in a release, according to MLive. "We feel privileged to have the opportunity to contribute to the future growth of Mexico."


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