Information contained in this news release is current as of the date of the press announcement, but may be subject to change without prior notice.
September 20, 2012
Will strengthen automotive equipment systems business throughout the Americas
Farmington Hills, Michigan, September 20, 2012 --- Hitachi Automotive Systems Americas, Inc. - the regional headquarters for the Americas within Hitachi Automotive Systems' global operations - today announced the start of construction in Queretaro, Central Mexico, of Hitachi Automotive Systems Queretaro, S.A. de C.V., a new company for manufacturing automotive equipment systems in Mexico.
An increasing number of foreign car manufacturers are building manufacturing plants in Mexico to serve Latin America and other regions of the Americas. In turn, automotive equipment systems manufacturers are also upgrading their operations to ensure that they have the necessary production capacity in Mexico and are accelerating localization so they can respond promptly to local needs.
Manufacturers of automotive equipment systems are becoming increasingly active in Mexico, drawn by the preferential trading environment created by trade agreements such as NAFTA (North American Free Trade Association) and Mercosur (Southern Common Market, consisting of Brazil, Argentina, Uruguay and so on) which allows automotive parts and components to be exported free of duties and tariffs.
Up until now, Hitachi Automotive Systems, Ltd. has been using its other Group companies in Mexico, UNISIA MEXICANA, S.A. DE C.V. and Electronica Clarion S.A. de C.V., to expand and optimize its Mexico-based production of mechanical and electronic systems to each specialty and to strengthen its supply capabilities to North, Central and South America.
To respond to increased vehicle production in Mexico and to take advantage of the positive trade environment created to further strengthen supply capabilities for car manufacturers throughout the Americas, Hitachi Automotive Systems, Ltd. has secured a 20-hectare site for the new company in Queretaro. Production is scheduled to begin there in April 2014, starting with suspension products and later expanding to include other products. The planned investment in the company will amount to US$100 million (approximately 7.8 billion yen)* over the four-year period 2012-2015.
Going forward, Hitachi Automotive Systems, Ltd. will focus on driving the further growth of the automotive equipment systems business in the Americas and other global markets by providing automotive equipment systems that meet the needs of regions around the world.
| Name | Hitachi Automotive Systems Queretaro, S.A. de C.V. |
|---|---|
| Location | Santa Rosa Jauregui, Queretaro |
| President | Takumi Shimaoka |
| Capitalization | 224,199,130 pesos (as of September 10, 2012) (approximately 1,345,000,000 yen at an exchange rate of 1 peso = 6 yen) |
| Establishment date | July 2, 2012 |
| Shareholder composition | 99.98% Hitachi Automotive Systems, Ltd. 0.02% Unisia Mexicana, S.A. de C.V. |
| Business | Manufacture of automotive equipment systems |
| Start of operations | April 2014 (planned) |
| Number of employees | Approximately 400 to 700 (by 2017) |
* Exchange rate: $1 = 78 yen
Hitachi Automotive Systems Americas, Inc., a subsidiary of Hitachi America, Ltd., manufactures, remanufactures and markets a wide range of automotive systems including engine management systems, electric power train systems, drive control systems and car information systems for all major automotive original equipment manufacturers and aftermarket customers worldwide, providing leadership within Hitachi Automotive Systems' global operations as the regional headquarters in the Americas. The company is headquartered in Farmington Hills, MI.
For more information, please visit www.hitachi-automotive.us.
Hitachi America, Ltd. headquartered in Tarrytown, New York, a subsidiary of Hitachi, Ltd., and its subsidiary companies offer a broad range of electronics, power and industrial equipment and services, automotive products and consumer electronics with operations throughout the Americas. For more information, visit www.hitachi-america.us. For more information on other Hitachi Group companies in the United States, please visit www.hitachi.us.
Hitachi Automotive Systems, Ltd is a wholly owned subsidiary of Hitachi, Ltd., headquartered in Tokyo, Japan. The company is engaged in the development, manufacture, sales and services of automotive components, transportation related components, industrial machines and systems, and offers a wide range of automotive systems including engine management systems, electric power train systems, drive control systems and car information systems.
For more information, please visit the company's website at http://www.hitachi-automotive.co.jp/en/.
Hitachi, Ltd. (TSE: 6501), headquartered in Tokyo, Japan, is a leading global electronics company with approximately 320,000 employees worldwide. Fiscal 2011 (ended March 31, 2012) consolidated revenues totaled 9,665 billion yen ($117.8 billion). Hitachi is focusing more than ever on the Social Innovation Business, which includes information and telecommunication systems, power systems, industrial, transportation and urban development systems, as well as the sophisticated materials and key devices that support them. For more information on Hitachi, please visit the company's website at http://www.hitachi.com.
