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Mazda plans to increase production capacity in Mexico to 230K units from FY ending March 2016

Mazda Motor Manufacturing de Mexico S.A. de C. V (MMMdM), a joint venture production company owned by Mazda Motor Corporation and Sumitomo Corporation, will increase the production capacity at its plant currently under construction in Salamanca, Mexico in the fiscal year ending March 2016.

MMMdM, will commence operations at the new plant in the fourth quarter of its fiscal year ending March 2014 with an initial production of 140,000 units annually. Capacity will be increased to 230,000 units in the fiscal year ending March 2016. The increase will accommodate the additional annual production of approximately 50,000 Toyota-branded vehicles, beginning in the summer of 2015, as well as the anticipated increasing worldwide demand for Mazda’s SKYACTIV vehicles.

This production capacity increase is an important part of Mazda’s drive to strengthen its overseas production base as laid out in our medium- to long-term plan. It is important to note that this capacity increase in Mexico which will allow us to meet our production agreement with Toyota as well as the growing demand for our SKYACTIV products around the world, will be incremental to production in Japan. We will ensure a globally-balanced production footprint while maintaining domestic production in Japan at current levels. The Mazda2 and Mazda3 models produced at the plant will be sold throughout North, Central and South America.

—Takashi Yamanouchi, Mazda’s Representative Director, Chairman of the Board, President and CEO

Mexico has free trade agreements with many regions and countries including the North American Free Trade Agreement (NAFTA), making it a very advantageous location from which to export vehicles.

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