GML invests 3,000 million pesos to double capacity of JAC vehicle plant

The JAC plant in Ciudad Sahagún, Hidalgo, will increase its production capacity with a 3 billion peso investment, according to Giant Motors Latin America (GML). There will be eight assembly lines in the complex instead of just four.

From passenger models like the electric E10X to last-mile commercial cars, the facility assembles it all. According to Elías Massri, CEO and chairman of the board of directors of GML, the expansion will raise yearly capacity to 60,000 units, with the potential to scale up to 100,000 units if demand calls for it.

The plant has worked under the Semi Knocked Down (SKD) model since it opened in 2017, where vehicles are delivered partially constructed and completed locally.

The business will stick to this production approach even if Mexico decides to increase duties on Chinese auto imports. The automobiles will now bear the «Made in Mexico» label as a result of the announced investment.

The management does not preclude out exports in the future, mostly to Latin America, even though the United States is not included in the plan, even though all output is currently headed for the domestic market.