MEXICO CITY — U.S. auto giant General Motors (IW 500/5) will invest $3.6 billion over four years to expand and modernize four plants in Mexico, the company said Thursday.
With this investment, GM will have spent $5 billion in Mexico between 2013 and 2018, generating 5,600 direct and 40,000 indirect jobs, said the company's chief in Mexico, Ernesto Mariano Hernandez.
"It is a ratification of the commitment of General Motors in Mexico," Hernandez said at an event alongside Mexican President Enrique Pena Nieto.
The factories are located in the states of Mexico, San Luis Potosi, Coahuila and Guanajuato.
Mexico's relatively cheap labor, proximity to the United States, and free trade agreements with several nations have made it an increasingly attractive location for foreign car manufacturers.
Mexico is Latin America's biggest car producer and the seventh in the world, according to the government.
Copyright Agence France-Presse, 2014