Toyota will open its second plant in Mexico on Thursday, with an investment of about US $700 million, the company said, amid a slowdown in the automotive industry in the Latin American country.
The facility, located in the central state of Guanajuato, will employ some 1,300 people and has a capacity to assemble 100,000 units of the Tacoma truck that will go mainly to the US and Mexican markets.
Toyota announced the construction of its new plant in April 2015. At that time, it planned to inject 1 billion dollars and start production of its best-selling model, Corolla, in the country.
However, in October 2017 and given the low demand for compact cars in the United States, they decided to reduce his investment to US $700 million and devote themselves to putting together more Tacoma’s.
Last year, local manufacturing and export of vehicles receded. The company estimates further decline in the automotive industry this year.
However, the ratification of the Mexico, United States and Canada (TMEC) Treaty would give this beaten sector greater certainty, which is fundamental to the Mexican economy.