Following growth trends in mobile machinery and factory automation in North America, Bosch Rexroth will invest 160 million euros in one of its production facilities in Querétaro, Mexico. Local production in the region decreases the company’s carbon footprint and gives North American machine builders and other manufacturers shorter delivery times. The project will create 900 jobs by 2027.
In June, its current 42,000-square-meter plant began manufacturing hydraulic pumps, motors and valves for mobile machinery, such as excavators, forklifts and tractors. After the expansion, additional mobile machinery products and linear motion products (rails and runner blocks) will be manufactured (transmission units and radial piston motors).
“With its local-for-local strategy, Bosch Rexroth increases the capacity, flexibility and robustness of supply chains, reduces the CO2 footprint by regionally manufactured products and achieves shorter delivery times,” said Reinhard Schaefer, member of the management board of Bosch Rexroth with responsibility for manufacturing and quality.
In addition to its existing supplier base in North America, Bosch Rexroth relies on a stable and further growing supplier network in Mexico, for example for castings, machining, steel, drive shafts or cylinders. The new facility in Querétaro will work together with Bosch Rexroth production sites in Bethlehem, Pennsylvania; Charlotte, North Carolina; Fountain Inn, South Carolina; and Lincolnshire, Illinois. In Fountain Inn, Bosch Rexroth is expanding its services to include prototyping, customizing, re-manufacturing, and aftermarket service and spare parts. Bosch Rexroth has been present in North America since 1967 and employs more than 3,500 associates at five production sites.
“With our growing production capacity in this region, we can react even faster than before to customer requirements and meet the growing demand for components and solutions, in particular for agricultural and construction machinery and OEM machine builders in North America,” said Christoph Kleu, senior vice president finance and administration of Bosch Rexroth in North America. “Our customers in North America will continue to order from their regional contact at Bosch Rexroth, but they will have more options for transport and delivery.”