TINLEY PARK, Ill. — Automotive parts manufacturer, UGN, Inc., has broken ground for a new facility in Silao, Guanajuato, Mexico. The company is following customer expansion of global production and will be manufacturing products for Mexican-produced vehicles.
Production is slated to begin toward the end of the year. This marks the company’s first international and fourth expansion since October 2010.
“Many of our customers are expanding production to this region of the world,” says Peter Anthony, CEO, UGN. “They are finding more efficiencies here due to higher productivity and lower costs. Because of that, they have asked us to support their initiatives.”
Japanese automakers are building assembly plants in North American to both regain lost market share and move production closer to their customers.
UGN has six manufacturing facilities across the United States producing superior acoustic, interior trim, and thermal management products for North American and Japanese automotive manufacturers.
The 60,000 square foot facility is the seventh production location for UGN and the company expects a net production increase of 20 percent in Mexico. Jobs at their U.S. plants will not be lost nor will production shift to Mexico.
UGN is expanding to meet growing demand in the automotive industry with North American production expected to grow to 17 million vehicles per year by 2016.
About UGN, Inc.
Founded in 1986 as a partnership between Nihon Tokushu Toryo Co., Ltd. (Nittoku) Autoneum, UGN, Inc. is the preferred producer of high quality acoustic, interior trim, and thermal management products and a recognized leader in customer satisfaction for the Japanese transplant automotive industry in North America.
Today, UGN has more than $325 million in revenue and six locations in the United States – Chicago Heights, Ill., Farmington Hills, Mich., Jackson, Tenn., Somerset, Ky., Tinley Park, Ill., and Valparaiso, Ind., as well as a seventh in Silao, Guanajuato, Mexico – specializing in manufacturing, research, development, testing, and service support. For more information, visit http://www.ugnauto.com.