Transatlantic relations

Think global, act local: In order to meet the growth potential of the North American market, Phoenix Contact is planning a new building for electronics and electromechanical production in Mexico.

Frank Stührenberg

No matter how good the product, no matter how ingenious the solution – if they don’t reach the customer, they are virtually worthless. The CEO of Phoenix Contact, Frank Stührenberg, emphasized this connection when he announced at Hannover Messe 2024 why Mexico, or more precisely the Querétaro region, was becoming a focus for the Blomberg-based company. “From an international perspective, we will expand our production even further in order to shorten delivery routes for our products and solutions and thus reduce potential disruptions in the supply chains.”

When choosing the new location, proximity to the US market was just as important as access to resources and expertise for electronics production. “Mexico is located directly next to the USA, has the necessary competence clusters and also offers labor cost advantages,” said Dirk Görlitzer, COO Phoenix Contact and Head of the Industrial Components and Electronics business area, explaining the decision. “Geographically speaking, Mexico offers the advantage of logistical connections from both the Gulf of Mexico and the Pacific. The Querétaro region is located in central Mexico between the central ports of Veracruz and Manzanillo and is logistically well connected to the USA.”

At the Hannover Messe, Dirk Görlitzer and Frank Stührenberg met with Mauricio Kuri, Governor of Querétaro, and Marco del Prete, Secretary Ministry of Sustainable Development in Querétaro (from left)

The production site in the Querétaro region is expected to have a total area of 20,000 m² and around 700 employees by 2032. The total investment will amount to around 50 million euros by 2032. Production is scheduled to start at the end of 2025 after the first construction phase.

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