Shinano to build electric car motors in Mexico

Los Angeles, California – Shinano Kenshi Group plans to open a new-state-of-the-art factory in Mexico by late 2015. The new factory will be located in central Mexico, in the State of Guanajuato. The initial focus of the factory will be small precision electric motors.

SKG has two manufacturing plants in China. Mexico is the first manufacturing plant in North America. SKG's decision to create a regional manufacturing center in North America was driven by customer requests for localization and by prospective business SKG expects to accelerate in North America in the coming years.

"Shinano Kenshi Group has always been customer centric. We have heard their requests to localize operations and move our value closer to their business. Our expansion into Mexico puts the company in a position to remain a significant partner to current customers and prospects for the next decade," says Shinano Kenshi Americas President Rex Bergsma.

The company expects the Mexico operation to be advantageous in a number of areas including expansion of business in NAFTA area, shorter supply pipelines, quicker technical response, and overall ease of use – local time zones, quicker delivery, and closer communication for North American based companies.

Initially, the new factory will start production with automotive motors, a working staff of nearly 100 people and an initial space of 42,250 ft2. The plant will also focus its value to other important industries of SKG. SKG has targeted annual revenue of $20 million by the year 2018 for the Mexico site.

Source: Shinano Kenshi Group