GKN Driveline has expanded its manufacturing facility in Villagran, Mexico, according to the company’s press release. The 8,000-square metre expansion of the facility will mainly produce constant velocity joint (CVJ) systems and is expected to create 250 jobs in the area. This facility also includes new product development facility. Fidel Otake, Operations Director GKN Driveline Mexico, said, “We have invested over USD233m in our Mexican operations since 2005. We are proud to be able to increase the number of skilled trade workers in the region.”
Significance: GKN Driveline Villagran plant was established in 2006. Together with the Celaya plants, Villagran is one of three facilities across the country employing a total of 1,850 people. The expansion at Villagran is expected to support new business wins and future growth in the region. It will increase the annual production of sideshafts from the current 7.5 million units to 9.5 million units in 2015. Bob Willig President, GKN Driveline Americas, said, “This expansion allows us to fully support our customers in this fast growing region. The new product development centre brings increased opportunity for local innovation to create customer focused systems and solutions.”
GKN Driveline is on an expansion drive to boost its manufacturing footprint globally. Within a week, the company announced two expansions. On 17 September, GKN Driveline announced that it is expanding its manufacturing presence in China. The automotive supplier said it is investing USD43.9m to expand its facility in Chongqing. The expanded facility will cover an area of almost 12,000 square metres when construction is completed in 2014. Production at the plant is scheduled to begin in July 2014 and will have capacity to produce constant velocity joint (CVJ) systems for one million vehicles per year. On 13 September, GKN Driveline said it expanded its production facility in Poland. The new production area of 6,800 square metre, which includes new laboratories, offices and a logistic area, will produce mainly CVJ sideshafts and propshafts.
