ArcelorMittal Mexico will invest 15 million dollars for its plant in Escobedo, Nuevo León, destined for the production of pipes for the automotive industry, as reported by Jaime Luján Valladolid, director of Industrial Sales and Flat Steel.

“The investment will be to install a fifth pipe mill in the plant and the production will be dedicated to serving Tier1 and Tier2 level suppliers; which in turn supply companies such as Volkswagen, General Motors and Ford for vehicles such as Suburban, Tahoe and Fusion”, said Luján Valladolid.

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Luján Valladolid highlighted that, with the relocation of the production chains in the region, the so-called "nearshoring", the arrival of new companies and more investments in the country has been allowed and ArcelorMittal has benefited globally.

As part of this process, there are already clients requesting to develop production in Mexico, such is the case of their partner Vama China, a Chinese company with which they have a "joint venture", "many clients who source from Vama are asking that we develop them here and they start knocking on our door to see what else we can do”.

He explained that they seek to have experts in the energy sector, in tanks, appliances, heavy industry with the support of their sales force and together with them make the strategy to seek a greater market share that today is served by imports and that they want to attend so that they stop importing and consuming what ArcelorMittal manufactures.

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Compared to other similar “green field” projects in Brazil or Poland, ArcelorMittal Mexico has had a better performance in terms of development and start-up curve.

He stressed that production is focused on various sectors such as heavy industry, mining, agriculture, the industry that in the US is called the (power grips) that are the connectivity of electrical energy. "We are developing the energy part, bitter gas, aqueducts."

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