MOLNDAL, Sweden (June 13) — Hexagon Polymers is planning to open a compounding unit in Mexico, scheduled to be up and running by the third quarter of 2007.
Initially the compounding plant will have one mixer — to be moved from Hexagon Polymers´ plant in Magog, Quebec — but the design allows for a second line as soon as 2008 if demand is maintained, Hexagon said.
"Our customers in Mexico — mostly automotive suppliers — are expanding heavily, mainly due to the shift from American and Canadian car manufacturers to production units in central Mexico," said Lars Olofsson, CEO of Hexagon Polymers. "The overall trend is that car production in Mexico will be doubled by 2010, from less than 2 million cars to 4 million cars.
"Our strategy is to maintain our strong position and develop our production units in the western world and, at the same time, expand continuously in the developing countries," he said.
Hexagon still has not finalized the site selection but said it would be in central Mexico.