68af1a6f8febdf371cdf873f Ags5

Hydraulics manufacturing facility begins production in Mexico

Aug. 27, 2025
ContiTech's Mexico facility aims to reshape fluid-power supply chains in North America

Continental’s group sector ContiTech has officially started production at its hydraulics manufacturing facility in Aguascalientes, Mexico. The $90 million investment represents a step in the company’s strategy to strengthen local supply chains, increase regional production capacity and bring fluid power closer to customers in the region.

The 900,000-sq-ft site will manufacture hydraulic hoses for industrial and mobile applications, including construction, agriculture, mining and energy sectors (Figure 1).

“The start of production in Aguascalientes marks a key milestone in ContiTech’s journey toward being a more agile, regionalized partner to our customers,” said Philip Nelles, member of the Continental executive board and CEO of the ContiTech group sector. “At ContiTech, we build on 150 years of materials expertise. While our portfolio is broad and diverse, all our solutions are grounded in the same strength: high-performance materials that are mission-critical, innovative and engineered to perform. Whether they connect, convey or cover, our products play essential roles across industries and applications.” 

Consistent with Continental’s global manufacturing approach of building “in the region, for the region,” the Aguascalientes facility will serve regional markets with products engineered and produced locally to meet the specific demands of regional customers (Figure 2).

Nelles added, “Innovation has been at our core from the very beginning, and this new plant demonstrates our ongoing commitment to delivering smarter, faster and more resilient solutions. By expanding our manufacturing footprint in the Americas, we are not only strengthening supply-chain resilience and reducing lead times, but we are also reinforcing our role as a trusted, responsive partner for our customers throughout the region.”

Andreas Gerstenberger, CEO of ContiTech USA and head of business area industrial solutions Americas, added: “We are ready to lead in this segment. This new plant reflects our commitment to both innovation and proximity. With our customers increasingly looking for responsive and innovative solutions, we are proud to deliver with local production, advanced technology and a skilled workforce. More than just expanding our footprint, this investment is about creating mutual value with our customers, partnering closely to help them succeed in their own markets. By placing customer needs at the center of everything we do, we aim to be their first choice for material-driven solutions now and in the future.”

The Aguascalientes plant will work in close alignment with ContiTech’s existing manufacturing facility in Norfolk, Nebraska, offering production flexibility, increased responsiveness and operational efficiency. Together, the two locations are designed to help ContiTech meet the ever-changing needs of customers by balancing volume, technology and lead time across a coordinated regional network. The company plans to ramp up production gradually, with customer deliveries expected to begin in Q4 2025.

Sponsored Recommendations

Unlock the Future of Industrial Innovation with AI
Discover the reliable power supplies designed for industrial applications. Dive into IDEC's PS5R-V Compact Series catalog and unlock enhanced performance for your critical operations...
Industrial enclosures, PCs and operator interfaces are critical components in machinery. These devices have changed as they’ve evolved, along with the way manufacturing ...
Watch the video to find out how simulation for automation lets you validate and optimize production machines so you can build better battery machines faster.