VW will build the Golf in Mexico next year

Posted on Tuesday, 29 January 2013 , 06:01:54 byVeronica

Filed under vwgermaneuropeantechnologymexicogolfVolkswagenEuropeanGermanTechnology

VW will build the Golf in Mexico next year

Yesterday, German carmaker Volkswagen has announced that it will begin to produce the next-generation Golf in Mexico, at its VW manufacturing facility in Puebla. Actually we are talking about the 7th generation Golf which will be produced starting with the first quarter of 2014. As you probably know, localization has become increasingly important in automotive manufacturing. Why? It is important to be in a place where currency fluctuations are small and rare and to be closer to the market in which the carmaker sells. The models built here in Mexico will be offered for the North and South American markets. This new location offers a great economic basis for Volkswagen production operations and it is a well-established automotive manufacturing facility that holds many efficiency and high quality records. Thanks to the existing infrastructure, the free trade agreements and the competitive cost structures, Mexico is the perfect location to produce the Golf for the American customers.

Actually this action is part of the German strategy for the US market. The carmaker will make different investments that will surpass $5 billion in the next three years. These actions will lead to growth in the US market. Some of the major investments involve the opening of new plants in Silao, Mexico. Here the specialists will build 1.8- and 2.0-liter turbocharged EA888 engines. They will also build a new production facility for Audi in San Jose Chiapa, also in Mexico.

The VW Golf is the best selling vehicle of the company, globally and it was revealed for the first time last year in September during the Paris Motor Show. The 7th generation offers more features, improved safety and even more performance than the outgoing vehicle. Apparently it is also lighter in comparison to its predecessor. Its new design is more sophisticated and longer lived than any other compact in the world. The model is scheduled to go on sale starting the middle of next year in the US. autoblog