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Yongmaotai plans to invest US$63M in Mx plant

  • 21st October 2025

Yongmaotai Automotive Technology, a Chinese manufacturer of aluminum automotive components, announced a US$63 million investment to build a new plant in Coahuila, Mexico, to strengthen supply chains for clients such as General Motors, Volkswagen, BorgWarner, Continental, and Bosch.

Two of Yongmaotai’s Singapore-based subsidiaries will establish a project company in Mexico to manage the investment, construction, and operations of the facility. The plant is expected to be completed within two years, although specific details on its capacity and size were not disclosed. The company said the move aims to reduce exposure to global trade tariffs while deepening relationships with key automotive customers.

The investment follows a broader trend in Mexico, where BorgWarner has attracted new suppliers, particularly in aluminum die casting—a technology essential for lightweight engine and electric propulsion components. “This strategy enables us to diversify geographically, mitigate commercial risks, and strengthen ties with global clients,” Yongmaotai said. Earlier this year, the company announced a US$50 million investment in Indonesia to build a turbocharger housing plant with an annual capacity of 5 million units, continuing its global diversification and risk mitigation strategy.

According to its annual report, Yongmaotai Automotive’s foreign revenue totaled US$31.4 million last year, accounting for 5.5% of total sales. While shares slipped 1%, the company’s market value on the Shanghai Stock Exchange has surged 72% since the end of last year.

MEXCHAM continues building bridges between Mexico and China.

中国墨西哥商会将继续作为墨西哥与中国之间的桥梁,不断努力。

Cámara de Comercio de México en China

(MEXCHAM)中国墨西哥商会

www.mexcham.org

bj.info@mexcham.org