Bosch Rexroth opens plant in Mexico

Bosch Rexroth has opened a new plant Querétaro, Mexico, creating more manufacturing capacity for mobile hydraulics and factory automation in North America and shortening delivery routes for customers in the region.

The company says it is investing about 160 million euros, or $173.7 million, in the new location and will create about 900 jobs by 2027.

At its 42,000-square-meter, or 452,000-square-foot, plant in Querétaro, Bosch Rexroth, which is headquartered in Germany, says it began manufacturing hydraulic pumps, motors and valves for mobile machinery, such as excavators, forklifts and tractors, in June. Additional products for mobile machinery, such as transmission units and radial piston motors, will be manufactured at the site as will linear motion technology products (rails, runner blocks) for applications in mechanical and plant engineering as well as factory automation.

“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,” says Reinhard Schaefer, a 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 says it relies on a supplier network in Mexico for castings, machining, steel, drive shafts or cylinders.

Bosch Rexroth has been in North America since 1967 and employs more than 3,500 associates at five production sites and numerous sales and service locations. The new plant in Mexico complements the activities at the company's established sites in Bethlehem, Pennsylvania; Charlotte, North Carolina; Fountain Inn, South Carolina; and Lincolnshire, Illinois, in the United States, and will serve the market with hydraulic and factory automation solutions. Additionally, in Fountain Inn, Bosch Rexroth says it is expanding its services to include prototyping, customizing, remanufacturing and aftermarket service and spare parts.

“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 [original equipment manufacturer] machine builders in North America,” says Christoph Kleu, senior vice president, finance and administration, for 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.”