BorgWarner to expand turbocharger production in Mexico and Europe
Multinational BorgWarner announced the signing of two strategic contracts with a global original equipment manufacturer (OEM), consolidating its position as a key supplier of turbochargers for next-generation vehicles in Europe and North America.
As part of these agreements, the company will supply its renowned gasoline turbocharger with a wastegate system for 1.0-liter engines, which will be integrated into compact cars and light commercial vehicles, both internal combustion and hybrid, within the European market. Production is scheduled to begin in August 2027.
At the same time, the company was selected for another high-performance project in North America: the supply of turbochargers for a 3.0-liter gasoline engine hybrid application. Manufacturing of this component will begin in September 2028 at the company's plant in Ramos Arizpe, Coahuila.
“This contract underscores our ability to compete and win in highly contested markets by offering reliable, cost-effective solutions with long-term supply commitments,” said Dr. Volker Weng, vice president of BorgWarner Inc. and president of the Turbo & Thermal Technologies division. “It also reflects our strategic focus on continuing to support global manufacturers with combustion engine technologies at a time when many others are withdrawing from the segment.”
The wastegate technology developed by BorgWarner represents a robust and efficient solution for low-displacement gasoline engines. Its design allows boost pressure to be managed with a conventional mechanism, improving engine performance and reducing fuel consumption without requiring complex and costly architectures.
Its main attributes include durability, competitive pricing and guaranteed long-term availability, which are decisive factors in an industrial environment characterized by supplier consolidation.
The turbochargers will be produced at both the Rzeszów plant in Poland and the Ramos Arizpe facility, strengthening regional manufacturing capabilities and proximity to target markets. With an installed capacity to manufacture up to three million turbochargers per year, the Ramos Arizpe plant is now the group's largest in this segment worldwide.
Under the leadership of Lourdes Cobos, who is also president of the Coahuila Automotive Industry Cluster, the industrial complex has more than 1,930 employees and covers an area of 32,000 square meters built on a 108,000 square meter site.
This operation not only underpins BorgWarner's expansion in key markets, but also positions Coahuila as a strategic hub within the global supply chain for automotive technologies for hybrid and combustion vehicles.
The announcement comes during a strong financial period for the company, which recently reported a 55% increase in its quarterly dividend, reflecting its operating performance and the momentum generated by facilities such as the one in Ramos Arizpe in its global strategy.
BorgWarner is a global provider of vehicle propulsion technologies, including internal combustion engines, hybrid and electric powertrains. The company designs, manufactures and supplies systems and components for the automotive industry, focusing on clean and efficient solutions.
