Investment of around 160 million euros
Strengthening the international production network
Solutions for the electrification of mobile machinery
Shorter delivery routes reduce CO2 emissions
With the opening of a new plant in Querétaro, Mexico, Bosch Rexroth is creating more manufacturing capacity for the growth markets of mobile hydraulics and factory automation in North America and shortening delivery routes. The company is investing about 160 million euros in the new location and will create about 900 jobs by 2027. The aim is to strengthen local production for the North American factory automation and hydraulics market and thus be able to serve customers even better and more efficiently in the future.
At its 42,000-square-meter plant in Querétaro, Bosch Rexroth began manufacturing hydraulic pumps, motors, and valves for mobile machinery such as excavators, forklifts, and tractors in June. The company prepares the ramp up of hydraulic components and products of linear motion technology. It is planned that additional products will be manufactured there for mobile machinery (transmission units, radial piston motors) as well as linear motion technology products (rails, runner blocks) for applications in mechanical and plant engineering as well as factory automation. Overall, industry specialists expect strong growth for mobile machinery and for the factory automation market, especially in North America.
“With its local-for-local strategy, Bosch Rexroth increases the capacity, flexibility and robustness of supply chains, reduces the CO2 footprint by regionally manufactured products and achieves shorter delivery times,” emphasizes Reinhard Schaefer, Member of the Management Board of Bosch Rexroth with responsibility for manufacturing and quality. In addition to its existing supplier base in North America, Bosch Rexroth relies on a stable and further growing supplier network in Mexico, for example for castings, machining, steel, drive shafts or cylinders.
Together with the Bosch Rexroth production sites in Bethlehem (Pennsylvania), Charlotte (North Carolina), Fountain Inn (South Carolina) and Lincolnshire (Illinois) in the United States, which have been existing for decades, the new plant in Querétaro will serve the market with hydraulic and Factory Automation solutions in a much faster and stable way. In Fountain Inn, Bosch Rexroth is expanding its services to include prototyping, customizing, re-manufacturing, and aftermarket service and spare parts.
“With our growing production capacity in this region, we can react even faster than before to customer requirements and meet the growing demand for components and solutions, in particular for agricultural and construction machinery and OEM machine builders in North America,” adds Christoph Kleu, Senior Vice President Finance and Administration of Bosch Rexroth in North America. “Our customers in North America will continue to order from their regional contact at Bosch Rexroth, but they will have more options for transport and delivery,” adds Kleu.
Bosch Rexroth has been present in North America since 1967 and employs more than 3,500 associates at five production sites and numerous sales and service locations. The new plant in Mexico complements the activities at the established sites.
About Bosch Rexroth:
As one of the world’s leading suppliers of drive and control technologies, Bosch Rexroth ensures efficient, powerful, and safe movement in machines and systems of any size. The company bundles global application experience in the market segments of Mobile and Industrial Applications as well as Factory Automation. With its intelligent components, customized system solutions, engineering and services, Bosch Rexroth is creating the necessary environment for fully connected applications. Bosch Rexroth offers its customers hydraulics, electric drive and control technology, gear technology and linear motion and assembly technology, including software and interfaces to the Internet of Things. With locations in over 80 countries, more than 32,000 associates generated sales revenue of around 7.0 billion euros in 2022.
The Bosch Group is a leading global supplier of technology and services. It employs roughly 421,000 associates worldwide (as of December 31, 2022). The company generated sales of 88.2 billion euros in 2022. Its operations are divided into four business sectors: Mobility, Industrial Technology, Consumer Goods, and Energy and Building Technology. As a leading IoT provider, Bosch offers innovative solutions for smart homes, Industry 4.0, and connected mobility. Bosch is pursuing a vision of mobility that is sustainable, safe, and exciting. It uses its expertise in sensor technology, software, and services, as well as its own IoT cloud, to offer its customers connected, cross-domain solutions from a single source. The Bosch Group’s strategic objective is to facilitate connected living with products and solutions that either contain artificial intelligence (AI) or have been developed or manufactured with its help. Bosch improves quality of life worldwide with products and services that are innovative and spark enthusiasm. In short, Bosch creates technology that is “Invented for life.” The Bosch Group comprises Robert Bosch GmbH and its roughly 470 subsidiary and regional companies in over 60 countries. Including sales and service partners, Bosch’s global manufacturing, engineering, and sales network covers nearly every country in the world. With its more than 400 locations worldwide, the Bosch Group has been carbon neutral since the first quarter of 2020. The basis for the company’s future growth is its innovative strength. At 136 locations across the globe, Bosch employs some 85,500 associates in research and development, of which nearly 44,000 are software engineers.