Three new semiconductor plants to open in Baja California and Jalisco

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Alberto Bustamante, general director of the National Auto Parts Industry (INA), revealed that three technology companies will be installed in Jalisco and Mexicali, Baja California, to manufacture and reprogram the chips used in the manufacture of automobiles worldwide.

“In our country, they will three companies that are going to dedicate themselves to creating these productive processes, In practice, we are talking about the fact that they are installed in Jalisco and Mexicali (Baja California),” commented Bustamante.

This, as part of a chain of strategic contributions promoted by the three countries, is part of the Mexico-U.S.-Canada Treaty (T-MEC) for develop a regional supply chain.

Since 2020 disruptions caused by Covid-19 and later by the war between Russia and Ukraine allows various industries to fall behind schedule and recover that depend on these chips, including in the automotive and information industries.

Bustamante even claimed that this situation “astounded us” because only five plants in the world were engaged in the production of these semiconductors, located in China and Taiwan, where the automotive sector accounted for 10% of demand.

The leader of the Mexican auto parts industry reported that at least 200 thousand units were affected due to the lack of semiconductors.

“This does not mean that they stopped manufacturing vehicles, but that they finished manufacturing and have not left the yards of the automakers, because they are waiting for these semiconductors,” said the representative of the business organization.

The companies will be in charge of manufacturing and reprogramming chips in Mexico, commented the representative of the National Auto Parts Industry.

“We are getting closer as we say: we already see the light at the end of the tunnel and we hope that the issue of semiconductors will be normalized within the first half of the following year,” said Alberto Bustamante.

The impact will lessen for the Mexican automotive industry with the start-up of the two semiconductor plants in the United States, which will begin in January of next year, he said.

Nearshoring to Mexico mainly benefits the auto parts sector, which will capture 40 percent of the inflow of capital into the national territory and greater participation in new business needs for plastics, light minerals, and molds, among others.

Source: Aristegui Noticias

Baja California Post