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WEG allocates R$670 million in investment for the expansion and verticalization of factories in Brazil and Mexico, focusing on growth and innovation.
A WEG, a leader in the transformers and electric motors sector, has announced a significant investment plan aimed at verticalizing and expanding its operations in Brazil and Mexico. The investment totals approximately R$670 million and is scheduled to be made over the next five years. This initiative marks an important strategic step for the company, with a focus on expanding its factories, acquiring new equipment and modernizing its facilities.
Expansion and investments in Mexico
The significant part of the investment will be destined for Mexico, where WEG plans to invest approximately R$336 million.
The main project involves the construction of a new factory for the production of yarn in the city of Atotonilco de Tula.
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This new plant aims to meet the growing demand for wires and cables used in the manufacture of transformers and electric motors in North America.
The new unit will be equipped with cutting-edge technology, and the investment also includes the acquisition and installation of new machinery.
The aim is not only to increase production capacity, but also to improve the efficiency of industrial processes.
With this expansion, WEG seeks to ensure that it can effectively meet current and future demand in the North American market.
Investments in Brazil: Itajaí and Guaramirim
In Brazil, investments from WEG will be applied in its factories located in Itajaí and Guaramirim, both located in the State of Santa Catarina.
In Itajaí, the company will expand its wire factory by 9.500 m², increasing its total area to 18.000 m². This investment, which is around R$ 169 million, aims to meet the growing demand for transformers in Brazil.
The factory expansion will allow WEG to increase its production capacity and improve efficiency in product delivery.
In Guaramirim, WEG plans to expand one of the foundry buildings by 6.000 m², increasing its total area to 17.000 m².
Furthermore, the modernization of machinery will be a crucial part of this investment, which is estimated at around R$165 million and will be carried out over three years.
These improvements aim to optimize production and guarantee the quality of the products manufactured.
WEG's goals and expectations
According to Rodrigo Fumo, Superintendent Director of Engines Complexes from WEG, this investment is a fundamental part of the company's strategy for the sustainable development of its business.
“With these new investments, we are taking an important step in the verticalization of electric motor manufacturing. We are optimistic about the growth prospects in both the domestic and international markets. We want to be ready to serve our customers with excellence, speed and innovation,” said Fumo.
WEG's focus with these investments is to increase the verticalization of industrial processes, which will contribute to the optimization of resources, cost reduction and better product delivery times.
Verticalization is a strategy that seeks to integrate different stages of the production process within the company itself, which can lead to greater efficiency and control over product quality.
Impacts expected by WEG
The expansion and modernization of factories WEG's actions have significant implications for the company and the markets in which it operates.
In Mexico, the new factory will help meet growing demand in North America, while in Brazil, expansions in Itajaí and Guaramirim will allow WEG to better serve the local market and expand its operations.
Furthermore, investment in new equipment and technologies will contribute to innovation and production efficiency, benefiting both the company and its customers.
WEG is thus positioned to face future challenges and take advantage of growth opportunities, while maintaining its commitment to quality and sustainability.
