Japan-based JSR Corporation will invest US$ 5 million to build a carbon masterbatch plant in Irapuato, Guanajuato, aimed to supply raw rubber for molded products manufacturers all over the region.
The subsidiary will run by the name of Elastomix Co., Ltd and is scheduled to begin commercial production in 2018 following the completion of company establishment procedures.
"Mexico is currently the world’s seventh largest automobile producer. Automakers from Japan as well as Europe and North America are successively entering Mexico and expanding their production capacity there," said the company in a press release.
Some auto parts manufacturers expanding into Mexico are major JSR customers in other markets.
By establishing a manufacturing base in Mexico, Elastomix aims to further expand its business while satisfying the demand of automakers and other customers.