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Volkswagen announces second phase of Mexico investment of around $1 billion

Published 02/16/2024, 05:37 PM
Updated 02/16/2024, 06:06 PM
© Reuters. FILE PHOTO: Volkswagen Tiguan cars are pictured in a production line at company's assembly plant in Puebla, Mexico, July 10, 2019. Picture taken on July 10, 2019. REUTERS/Imelda Medina/File Photo
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MEXICO CITY (Reuters) -Volkswagen's Mexican unit announced on Friday an investment of around $1 billion, in a second installment of spending by the German automaker aimed at boosting its electric vehicle (EV)business at its existing operations in central Mexico.

In a statement, the company did not offer further details on what kind of EV production it will undertake at its sprawling complex in central Puebla state.

Volkswagen (ETR:VOWG_p)'s latest investment in its Mexican operations follows a $763.5 million plan announced in late 2022.

The earlier investment plan for Volkswagen's Puebla facilities, among Volkswagen's largest globally, was aimed at building a new paint plant as well as to start a new production line.

© Reuters. FILE PHOTO: Volkswagen Tiguan cars are pictured in a production line at company's assembly plant in Puebla, Mexico, July 10, 2019. Picture taken on July 10, 2019. REUTERS/Imelda Medina/File Photo

The company has made its Jetta, Taos and Tiguan models at its Puebla complex.

Since 2016, Volkswagen unit Audi has also made the Audi Q5, a compact SUV, at the same complex, and later added a hybrid version.

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