Hyundai to build new factory in Mexico
The company is reportedly waiting until Mexico sales reach 50,000 units annually.
Hyundai is reportedly planning to establish its first automotive factory in Mexico.
The Korean automaker is said to be waiting for sales in the country to reach 50,000 units annually, a target that is expected to be reached by 2018. The company first began selling cars in Mexico just last year.
"Hyundai wants to turn Mexico into a very important base for its global production," Hyundai Motor de Mexico managing director Pedro Albarran told Bloomberg in a recent interview.
Affiliate Kia last year established a $1.5 billion plan to build a new production facility in Mexico, which continues to benefit from a boom in auto manufacturing.
Other automakers with a manufacturing presence in the country include BMW, Ford, General Motors, Honda, Mazda, Mercedes-Benz and Nissan. Within just the past week, Toyota announced a $1 billion expansion and Ford confirmed plans to spend $2.5 billion on a new engine plant and transmission factory in two separate locations.
Fuel by the North American Free Trade Agreement, the manufacturing shift is expected to eventually make Mexico the top auto manufacturing country in North America with more industry jobs than the US.