Mexico. During his recent visit to the country, Danfoss President and CEO Kim Fausing said that the Mexican market is the perfect hub to supply the region due to its location, domestic market growth, skilled workforce, trade agreements and competitiveness.
In this context, Danfoss expanded its Apodaca plant by 40,000 m² to further strengthen its position, increase supply chain resilience and be closer to its customers in Mexico and the Americas. With its new production facilities for scroll and reciprocating compressors, sensors and heat exchangers, the group responds to fast-growing market trends such as energy efficiency in refrigeration, electrification of heating and refrigerant transition.
The Apodaca expansion project will enable an estimated annual production capacity of 100,000 compressor units used in HVAC applications, 1.6 million pressure sensors, and A2L leak detection sensors for flammable refrigerants to support refrigerant transition and double capacity for microchannel heat exchangers.
Kim Fausing, President and CEO of Danfoss, said: "I am delighted to witness the impact of our investments both in Mexico's domestic market, as well as the supply hub for growing energy demand; efficient products in the Americas. Our purpose is to build a better future and we are proud to be part of Mexico's journey of decarbonization, energy efficiency, and sustainability. With a skilled and competitive workforce and a deep understanding of applications, we drive sustainable innovation to create value for our customers. By providing sustainable ready-to-use solutions, Danfoss Mexico is poised to help the country reduce greenhouse gas emissions by 35% by 2030."
The visit also coincided with the opening of a new Oxxo store within the Danfoss manufacturing plant in Monterrey. This new store is equipped with Danfoss' most advanced food retail solutions, including the intelligent energy-saving store automation system. The new store will not only serve as a working convenience store, but will also act as a demonstration site for other customers and partners to experience the energy-efficient capabilities of Danfoss technologies.
Danfoss Mexico's operations began in 1995 with 1,900 employees manufacturing compressors. Since 1998, the North American market has been served with products manufactured in Mexico and in 2019 it increased the supply to America with the introduction of the Industrial Refrigeration line. Innovation continues, strengthening and growing operations in Mexico with the Condensing Units production line.
Today it has more than 3,200 employees working at five production sites and a sales office. Across the Latin American region, there are more than 4,100 employees. The business strategy in the region is aligned with Danfoss' global green growth strategy, which has as its key sustainability objective to become the preferred decarbonization partner of its customers.
Kim Fausing added that "the strong growth of the local business is testament to the high quality of our products and the important shift towards solutions that increase energy efficiency and reduce emissions."
Julio Molinari, Regional President of Danfoss Latin America, said: "Today, Danfoss Mexico has the largest presence of all countries in the region with 30% of sales and is one of the top five countries globally for Danfoss in terms of personnel. Our largest business today in Mexico is in the Climate Solutions segment, supported by a significant and thriving local HVAC industry and a food chain sector that is continually looking to advance energy efficiency throughout the chain. These investments are precisely aimed at strengthening our position in these markets."
