Sona Comstar opens new plant in Mexico to cater to growing EV demand in N America

Sona BLW Precision Forgings (Sona Comstar) has inaugurated its new manufacturing plant in the Fipasi Industrial Park, Silao, Mexico. This strategic expansion underscores the company’s commitment to meeting the growing demand for high-quality driveline solutions for Battery Electric Vehicles (BEVs) in North America.

The new facility will specialize in producing differential assemblies and reduction gears meticulously designed for BEVs. Over time, it will further diversify its product range to accommodate the evolving technological advancements in electric vehicles.

As one of the largest manufacturers of differential assemblies for BEVs worldwide, Sona Comstar states that it recognizes the significance of North America as the largest end-market, contributing a substantial 40% to its revenue. The strategic location of the new plant in Mexico is poised to enhance the company's supply chain efficiency and responsiveness to customer demands in the region.

V Vikram Verma, CEO of Driveline Business at Sona Comstar, said: "Throughout our journey, we've consistently grown by meeting our customers' evolving needs and expectations. Our relentless pursuit of innovation and adoption of cutting-edge technologies have firmly entrenched us as the premier partner for global automakers. We aim to solidify our position as the preferred driveline solutions provider for automakers in North America by establishing our new manufacturing plant in Mexico. This expansion demonstrates our unwavering commitment to customer satisfaction and aligns with our long-term growth strategy to capitalize on the escalating EV demand."

The state-of-the-art facility in Mexico will be equipped with advanced manufacturing technologies, adhering to the highest quality and safety standards. This will significantly enhance Sona Comstar's production capabilities while creating numerous job opportunities and substantially contributing to the local economy. The initiative reflects the company's dedication to sustainable and environmentally responsible manufacturing practices.”

Mexico draws fresh investments from global auto industry
Mexico, which is now on the radar of global automotive majors, continues to draw considerable investment from both vehicle manufacturers and component suppliers. This year has already seen three major announcements.  

In January 2024, India’s Rane Madras inaugurated a greenfield facility in Aguascalientes, Mexico. This strategic move marks the company's foray into global markets. Rane Madras, which specialises in steering and suspension products along with light metal casting components, will cater to passenger vehicle applications.

In February, Posco International approved the construction of a second plant in Mexico. Plant 2 in Mexico will serve as an essential production base to supply 2.72 million motor cores for Hyundai Motor Group's Metaplant America, and to respond to the local production needs of North American customers.

March 2024 saw Yokohama Rubber Co announce plans to build a passenger car tyre plant in Mexico to strengthen its capacity to supply tyres to the North American market. The new plant will have an annual production capacity of 5 million tyres, with planned capital investment totalling US$380 million.

In August 2023, Magna broke ground on a new facility, which marks the $17 million expansion of its lighting division in Querétaro, Mexico following multiple business awards in rear lighting from various automakers.

Images: courtesy Sunjay Kapur/X