Nemak’s investments totaled US$4.204 billion over the last decade, from 2015 to 2024.

One of the characteristics of this capital flow is the constancy, without major ups and downs, with an annual average of US$420 million: the highest peak of US$542 million and the lowest part of US$269 million.

Nemak’s investments

This company recorded a 1.7% year-on-year drop in revenues in 2024, to US$4,907 million. Its production consists mainly of engine heads, monoblocks, transmission housings, electric vehicle components, structure and chassis.

The reduction of its capital expenditure in 2024 compared to 2023 is due to the company’s intention to take care of cash flow. 

These are Nemak’s investments, in millions of dollars:

• 2015: 460.
• 2016: 542.
• 2017: 433.
• 2018: 403.
• 2019: 344.
• 2020: 269.
• 2021: 360.
• 2022: 468.
• 2023: 537.
• 2024: 388.

In the fourth quarter of 2024, the company’s capital expenditures fell 29.7% YoY to US$109 million. In this regard, Nemak reported that it continues to adjust its investments according to market needs. 

Nemak has been modernizing its plants and equipment to meet the quality and cost requirements of the new programs that its customers have been granting it. 

Its investments in recent years are aimed at expanding production capacity and maintaining its plants in optimal conditions. 

Co-investments

In certain cases, customers co-invest with Nemak in assets and tooling. These investments make it possible to prepare facilities and acquire or modify essential equipment for production. This is done in accordance with the specifications of each component.

Net resources allocated to investment activities in 2023 were focused on the development of new products. The majority of these investments were directed to the structure, chassis and electric vehicle components segment.

Nemak operates as an independent global company that offers lightweighting solutions for the automotive industry. Weight reduction is key for original equipment manufacturers (OEMs) to comply with strict environmental regulations. This enables them to reduce CO2 emissions and improve fuel efficiency.

The company’s global presence extends to 15 countries. In total, it has 38 plants in North America, Europe, South America and Asia.

In 2024, the company reported profits of US$25 million, compared to US$4 million in 2023.