Investment in new hydraulic hose production plant
Continental builds for 90 million US dollars in Mexico
The German technology company Continental, together with the governor of Aguascalientes, has announced the construction of a new hydraulic hose plant for industrial purposes. The planned investment amounts to around 90 million dollars and is one of the largest investments for Continental's Contitech division in 2024.
The plant in the Mexican state of Aguascalientes will increase regional production capacity and create 200 new jobs in the first phase. Philip Nelles, Member of Continental's Executive Board for the Group Sector Contitech: "Strengthening our industrial business in the Americas region is a priority for us. It underlines our strategic approach to become an innovation leader and full-line supplier for hydraulic hoses".
Largest Contitech site in Mexico
The new facility will complement and expand Continental's existing manufacturing capacity in the region and will create more than 200 jobs in the first phase. With a total area of more than 85,000 square meters, it will be Contitech's largest site in Mexico. Construction of the plant is scheduled to start in the second half of 2024 and commissioning in the second half of 2025.
This investment is a response to the demand and growth of the hydraulic hose market in the region. The new plant will enable Contitech to further expand its hydraulic business with an extended portfolio of hoses for various key industries such as agriculture, mining, construction, manufacturing and energy.
In the region, for the region
Andreas Gerstenberger, Head of Industrial Solutions Americas: "The hydraulics market is the largest market segment for hoses and fittings in our region. We have been in the hydraulic hose business for over half a century. With our new plant in Mexico, we will double our capacity in this area and address existing and new customers in various industries, following our 'in the region, for the region' approach. In addition, our new plant is perfectly prepared for further expansion activities in the future with its state-of-the-art infrastructure including solar panels, process water reuse technologies, smart factory tools and machines with high automation and optimal energy utilization."
The new plant will be Continental's 22nd plant in Mexico and the second plant in the state of Aguascalientes. Continental manufactures and develops automotive components, rubber products and tires and exports to various countries, employing more than 23,000 people.
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