The Canadian company Magna dedicated to the automotive sector, announced an investment of more than 150 million dollars and the generation of more than 3,000 jobs in Coahuila, State that has consolidated as the main production bastion for the company, by having almost half of its national operations in the entity.
This announcement resulted from the meeting held by Governor Miguel Riquelme Solis and the rest of his delegation with executives of this firm during the tour of economic promotion that took place on Canadian soil.
According to executives, the place for its expansion is still being analyzed, with the Laguna Region being the tentative place, which is ahead due to its recent industrial growth.
In addition, it was announced that it will exceed the expectations of jobs that were going to be generated in all of its plants installed in Coahuila, as it went from more than 14,000 currently to around 17,400 with the new places.
Miguel Riquelme reiterated the support of his Government so that the new projects of this and other companies grow in Coahuila, as with them employment and competitiveness grow for the benefit of thousands of families.
He recalled that an economic development has been possible thanks to the combination of several factors that make it attractive for investors, such as skilled labor, technical and higher-level schools, high schooling and specialization of our workers, as well as road infrastructure, railway and airport, among others.
“We have 28 Canadian companies with 47 plants in the automotive, mining, chemical industry and metal-mechanic manufacturing sectors, mainly. Magna is the main Canadian investor in the State, where it has 14 plants out of a total of 32 in all of Mexico,” said Jaime Guerra Perez, head of the Ministry of Economy and Tourism of Coahuila (SEDECT, by its Spanish initials.)
The Secretary of Economy added that in addition to the more than 150 million dollars announced by Magna for its expansion in Coahuila, the company “is fulfilling more studies to bring more investment to our State, which shows the confidence they have in the entity.”
He said that Magna is analyzing the possibility of creating an engineering center, which could be in Coahuila.
WITH A ‘MAGNA’ PRESENCE
Headquartered in Aurora, Ontario, the company is the largest manufacturer of components for automobiles in Canada and owns Magna Steyr manufacturer of automobiles located in Steyr, Austria.
Globally, Magna is an automotive supplier with more than 335 manufacturing operations and 102 product development, engineering and sales centers in 29 countries, with more than 170,000 employees.
The auto-parts company operates 137 manufacturing plants in North America: 32 in Mexico, 50 in Canada and 55 in the United States. In North America, Magna has 25 engineering, product development or sales centers: 13 in the United States, 11 in Canada and one in Mexico.
The productive activities of the Magna International Incorporated consortium in Mexico represent the generation of about more than 30,000 jobs in 32 manufacturing facilities.
Magna was established in Ramos Arizpe in 1999 and currently employs more than 14,000 people on its 14 factories that produce a wide range of automotive components for the world.
The company offers complete vehicle engineering services and its product capabilities include body, chassis, exterior, seats, power train, active driver assistance, vision, locking systems and roof. It also has electronic and software capabilities in many of these areas.
Although it supplies parts to major OEMs, the majority of its sales are to six customers: General Motors, Ford, Fiat Chrysler Automobiles, Daimler, BMW and Volkswagen.
AN OVERCOMING STORY
Magna has its origins in the successful experience of Frank Stronach, an Austrian who migrated to Canada in 1954 with 200 dollars on his pocket.
Today, 64 years later, Frank Stronach, better known as “Franz Strohsack,” turned a common workshop of paint and parts manufacturing in Toronto into one of the largest suppliers of automotive equipment in the world.
Stronach was born on September 6th, 1932 in the small town of Weiz, in southern Austria. At age 14 he left school, and in 1954 he migrated to Canada with the only experience of apprenticeship training in a tool-making workshop.
After changing his name and doing different jobs, among them the washing dishes, in 1957 he launched his own company, Multimatic, of which he was the only employee.
In 1967 he merged Multimatic with another company he had created and registered in the stock exchange, Magna Electronics Corp. This became Magna International in 1973 and its sales of control panels and brake systems exceeded 150 million dollars at the end of that decade.
STRENGTHENING TIES WITH CANADA
After a week of economic promotion through the country of the maple leaf, where the objective was the commitment to attract investments to Coahuila, generate well-paid jobs, diversify the industry, increase competitiveness, it can be assured that Canada has its eyes settle in Coahuila, as the attention of more investors was attracted.
The meetings served to announce the competitive advantages of Coahuila, from its strategic position, the security it has, the educational level and its qualified workforce, which place it as a leader in the automotive sector; besides having 68 industrial parks.
It also exposed the advantages that the State has, its potential in terms of manufacturing and clean energy, and also the infrastructure that is carried out to increase its development. He also highlighted the connectivity of the State and the provision of natural resources in mining, agriculture, livestock, and the milk, brewing and wine industries, among others.
During the days of the meetings, visits and interviews with Canadian companies of different fields were obtained in Toronto and Montreal, achieving businessmen to agree with the delegation an immediate visit to Coahuila's soil.
Together with the Governor Miguel Angel Riquelme, the mayors of Saltillo, Manolo Jimenez; from Monclova, Alfredo Paredes Lopez; and from Frontera, Florencio Siller Linaje, as well as the president of CANACINTRA Centro Region, Rolando Rivero.
Investment announcements, expansion projects, commitments and trade agreements, educational and training were part of the achievements that were reached by the Coahuila delegation at the end of this promotional tour, which fulfilled the objective of attracting investments to the State, restate the support for companies already established in our territory, generate well-paying jobs, diversify the industry, increase competitiveness and provide development opportunities to the people of Coahuila.
The Coahuila delegation gathered with universities and businessmen from the Auto-parts Manufacturers Association, the Mold Manufacturers Association of Canada, the Ontario Teachers' Pension Plan, Samuel Associated Tube Group, Centennial College, Linamar, Conestoga College, The Woodbridge Group, Canimex Group, RDV Soucy International, Espacio por la vida, Montreal Metropolitan Chamber of Commerce, the Commission for Environmental Cooperation and Trans-Pro Logistics.
In addition, work meetings were held with Aero Montreal, a cluster of the aerospace sector, in order to reach joint projects, highlighting that Coahuila has important companies in the aerospace industry in the fields of engineering service, parts machining, security systems, heat treatment of metals, harnesses and connectors.