Construction equipment

Continental to Build New Pipe Plant in Mexico

Continental will expand its hydraulics business in North America with a new hydraulic hose production plant to be built in San Luis Potosi, Mexico.

The planned investment amounts to more than 40 million dollars. The new facility will provide additional wire braid and wire spiral capacity to meet growing needs in North America.

“Over-proportional growth in North America is a priority for us,” said Andreas Gerstenberger, head of Continental’s Industrial Fluid Solutions global business area. “We have many successful facilities in the region which will be supplemented by this investment with additional production capacity. The new facility will allow us to further grow our hydraulics business with the most attractive hose portfolio available and continue to strengthen our commitment to our customers and the North America region. This underlines our strategic approach to be the most successful in our markets.

Hydraulic products support many key industries including agriculture, construction, energy management, commercial and off-road vehicles, and manufacturing.

The production plant will create approximately 150 new jobs. The investment will help increase regional manufacturing capabilities and supply chain efficiencies. It creates multi-site capabilities across the region and is part of Continental’s commitment to growth in North America.

By combining innovative processes and state-of-the-art machinery, the facility is designed to achieve the highest possible manufacturing efficiency. Industry 4.0 standards, which link production with modern information and communication techniques, will be applied to connect and integrate 100% of the machines on site.

Construction of the facility is expected to begin later this year. Operations are expected to start in 2024.

Source: Mainland

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