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From Value One, Summer 2016 No. 53
Nicometal Hidalgo, S.A. de C.V.
An Automotive Service Center Active Since 2013
Mexico’s Automobile Industry Is Booming

Nicometal Hidalgo is a service center located in state of Hidalgo—about an hour by car to the north from Mexico City—that began operation in April 2013. We currently handle business mainly for Volkswagen (VW) and Nissan. As a service center that uses a centralized purchasing method, Nicometal Hidalgo procures materials from steel manufacturers around the world and delivers them to European, American and local parts manufacturers.
Mexico ranks seventh in the world in automobile production. Production volume here has increased from 2.35 million in 2010 to 3.4 million in 2015, and is predicted to reach 5 million by 2020. In addition to companies already doing business in Mexico—Nissan, VW, GM, Ford, Chrysler, Honda and Mazda—many other companies plan to expand into Mexico. This includes Audi, COMPAS (Cooperation Manufacturing Plant Aguascalientes; a joint-venture between Daimler and the Renault-Nissan Alliance), BMW, Toyota and Kia. Ford is building a new factory here. Many companies have plans for building or expanding service centers to capture this heightened demand, and the already tough competitive environment is expected to continue.


Inside the plant

In a Harsh Competitive Environment

The Metal One Group operates four service centers in Mexico: Nicometal Mexicana; Nicometal Bajio; Nicometal Hidalgo; and Coilplus Mexicana. All four communicate daily with Metal One de México to carry out their work. The companies also take advantage of the networks built by overseas offices and business investment affiliates in Mexico, the U.S. and Canada to beat out the competition mentioned above. They work tirelessly at creating deeper ties to maintain and expand their current business and develop new businesses.

 

View of the plant
Skeletons and the Day of the Dead

Mexico has a holiday called the Day of the Dead at the beginning of November that is celebrated nationwide every year. Whole towns are covered in colorful paper flags, jolly skeleton dolls and orange marigold flowers as the people dress up in costumes to attend events throughout the area. Day of the Dead festivities in the historic district of Mexico City were shown at the beginning of Spectre, the newest James Bond movie.
Skulls and skeletons are highly popular in Mexico, and many colorful skeleton-themed items are sold around the city throughout the year. Even in our office, a colorful altar was set up and a large number of skull chocolates were lined up. Skeleton-themed items are also increasing in my house with each passing day.

Skeleton-themed items accumulating daily

A Day of the Dead altar
Skull chocolates (with our names on them) that decorated the altar

 

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