Grupo Industrial Saltillo, GIS, will invest 30 million dollars in the capacity expansion of its auto parts foundry plant at its Draxton business in San Luis Potosí.

Operations are expected to start in late 2022 where the new foundry line will be focused on producing calipers and brackets, critical and safety parts for the brake system that are 100% compatible with hybrid and electric vehicles.

Jorge Roda, Director of Operations of GIS pointed out that the financial strength of the group allows them to finance the expansion of Draxton with their own resources and thus take advantage of the business opportunities presented by the T-MEC for the automotive industry at a global level.

Also see: Solid automotive vocation of San Luis Potosí

The executive reported that the company managed to refinance the loan contracted for its Evercast foundry and machining business with a cost reduction and an extension of the term until 2026.

These decisions allow them to reduce the level of debt leverage, improve maturity profiles and have the flexibility to analyze growth alternatives and value generation for our business portfolio.

GIS is a global company of Mexican origin with 18 plants: 10 in Mexico, 7 in Europe and one in China that serves the automotive, construction and home markets.

GIS is a Mexican company that participates in the auto parts, construction and home industries. It is a global company with operations in Mexico, Spain, Italy, the Czech Republic, Poland and China.

Of interest: JTEKT expands presence in San Luis Potosí and invests 47 million dollars

Through Draxton, it is dedicated to the casting and machining of iron and aluminum parts for brake, engine, transmission and chassis systems for the automotive industry.

The company has operations in 6 countries on 3 continents: Europe, Asia and North America, with plants strategically located in the center and north of Mexico.

The company reported on the construction and expansion of a new nodular iron foundry line at its production plant in San Luis Potosí, which will allow it to increase its installed capacity by 30 thousand tons per year to reach about 620 thousand tons per year of cast iron. global level.

Solili has the National Industrial Report as of 2Q 2021

Original note