On June 27, hydraulics manufacturer Bosch Rexroth said it has opened a new production plant in Mexico that will strengthen its international production network, create solutions for the electrification of mobile machinery, and provide shorter delivery routes with reduced emissions, according to a news release.

“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 said.

The company is investing about $174 million USD (€160 million) in the new location, which could 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,” Bosch Rexroth said.

The 42,000-square-meter (137,000 square feet) production plant in June began manufacturing hydraulic pumps, motors and valves for mobile machinery such as excavators, forklifts, and tractors.

The company said it 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, Bosch Rexroth said.