Country profi le: Mexico

FEVISA, VIENO

MEXICALI

INDUSTRIA VIDRIERA DEL BAJIO,

PENJAMO, GUANAJUATO

0-I MEXICO + SAVERGLASS,

GUADALAJARA

PAVISA + O-I MEXICO

MEXICO CITY

VIDRIO FORMAS,

LERMA DE VILLADA

O-I MEXICO + VITRO COSMOS VICHISA,

CHIHUAHUA

O-I/CONSTELLATION,

NAVA, COAHUILA

0-I MEXICO + VIDRIERA SANTOS +CRISA LIBBEY,

MONTERREY

FEVISA + AB INBEV,

SAN LUIS POTOSI

GLASS & GLASS

TAMAULIPAS

0-I MEXICO + GERRESHEIMER,

QUERÉTARO

GLASSIA/ VICRILA

PACHUCA, HIDALGO

CROWN MEXICO (SIVESA)

ORIZABA, VERACRUZ

VETRO DE CANTABRIA,

NOPALTEPEC, VERACRUZ

AB INBEV,

VERACRUZ

Mexican spotlight

Ahead of Glassman Latin America we investigate the Mexican glass industry. Despite Covid impacting manufacturing operations, demand for products shows no signs of abating.

Mexico is one of the major global exporters and importers of glass. In 2020, it was the 13th leading exporter and 17th largest importer of glass and glassware products in the world.

Both soft drinks and alcoholic beverages make up a substantial part of the industry. A rise in demand for alcoholic drinks in North America has led to an increased demand for glass bottles in Mexico. Companies such as Diageo and Constellation Brands plan to expand their operations in Mexico through new investments and expanding existing facilities.

The rapid growth of the non-alcoholic beverages industry in Mexico at the beginning of the 21st century has also seen the Mexican glass manufacturing industry grow signifi cantly. It is now one the fastest growing providers of glass bottles and containers. Of course, the pandemic had a signifi cant impact. In March 2021, hundreds of manufacturing plants were forced to close. Manufacturing operations were most severely affected in the northern states that border the US.

Despite the negative impacts of the pandemic, the Mexican glass industry seems to be making a quick recovery. In 2020, Mexico’s production of glass amounted to (approx.) over $1.2 billion, down from (approx.) $1.4 billion the previous year. Between 2014 and 2019, glass production in the country experienced a continual increase in value, with the annual fi gure more than doubling in that period.

COMPANY EXPANSIONS

VITRO

2021 was a busy year for Vitro. In June, construction for a third fl oat glass furnace was approved at the company’s factory in Nuevo León. The investment was an estimated at $120 million and hoped to provide for the growing demand for glass products in Latin America.

In July, Vitro said that it would sell LandGlass and VIG (vacuum insulating glass) Technologies products in North America. The tempered glass in the VIG unit allows it to be used in extreme temperatures.

In October, Vitro announced another investment of $70 million for the construction of a new container furnace at its plant in Toluca. Once again, this investment was to meet increased demand for glass containers, as well as using sustainable processes to manufacture high added-value glass products

VIDRO FORMAS

In 2020, manufacturer Vidrio Formas started the construction of a second production facility in Lerma. The plant was part of an expansion project to increase capacity by up to 114% within the next four years.

The company began production on July 2nd 2021, after a 10-day heat up and a fill that took four days. The new furnace will manufacture the same products as Plant 1, mainly liquor bottles and containers for the

OTHER EXPANSIONS

• In September 2021, Diageo said it would invest more than $500 million in new facilities in Jalisco to increase production capacity for the tequila industry. • In January 2022, Constellation Brands said it would construct a new brewery in Veracruz, and also plans to increase capacity at its existing facilities in Nava and

Obregón. • This March, TME Engineering formed a subsidiary in Mexico to supply the

American market. TME Glass Americas will be located in Guadalajara, Jalisco. food industry.

The facility includes a batch plant with the capacity to support the current furnace and the future installation of a second furnace, as well as a new regenerative end-fired furnace with a capacity of 320 t/d and two glass container production lines.

Four new machines were installed this March and four more are on order for the next two lines, which will begin production by the end of 2022.

� Glass and Glass’s main site in Tamaulipas. � Vidrio Formas’s second production facility in Lerma.

� Production line at Glass and Glass’s site in Tamaulipas.

MAIN GLASS MANUFACTURERS

IN MEXICO

� O-I Mexico: produces glass containers for food and beverage industry. In 2019, the company acquired Grupo Modelo’s Nueva Fanal facility located near Mexico City, which O-I believed would contribute approx. $140 million of revenue on an annual basis. � Fevisa: the company was founded in 1987 in Mexicali, Baja California, with the objective of providing packaging solutions to the food and beverage industry. Today, Fevisa manufactures billions of glass bottles every year. � Gerresheimer: provides glass packaging for the pharmaceutical industry, among other health industries, as well as drug delivery devices and solutions. � Saverglass: manufactures glass packaging for spirits such as tequila, mezcal, and wine. In 2018, the company opened its modernised glass and decoration factories in Jalisco after a $120 million investment. � Vidrio Formas: specialises in manufacturing exclusive and generic glass containers. � Glass & Glass: provide solutions for the perfume, wine and liqueurs industry as well as household glassware. In 2020, the manufacturer planned to install a second furnace at its manufacturing plant in Altamira, Tamaulipas (see previous page) to increase the company’s capacity to 300 tonnes per day. Pre-pandemic, the company could see up to 25 million units a year for one product alone. � Crown Mexico: in 2018, the container glassmaker operated two glass manufacturing plants in Mexico: Crown Vichisa and Crown Sivesa. It also invested in a new glass plant in Chihuahua the same year. The facility had a production capacity equivalent to 750 million bottles, which were to be supplied the adjacent Heineken brewery.

GLASSMAN LATIN AMERICA

Glassman Latin America will take place from the 11-12 May 2022 in Monterrey, Mexico, and will focus on the latest issues and innovations surrounding the hollow glassmaking sector.

The event will bring together international experts, glass container manufacturers and businesses that use glass containers, providing an excellent opportunity to meet and network for the first time since the pandemic.

An accompanying two-day conference will focus on the latest trends and topics in glassmaking such as decarbonisation, digitalisation and net zero emissions.

https://glassmanevents.com/latinamerica

OTHERS:

� Vichisa � Pavisa � Crisa Libbey (tableware) � Vidriera Santos � AB InBEV � Vetri De Cantabria � Glassia � Vitro Cosmos � Industria Vidriera Del Bajio � Industria Vidriera de Coahuila (IVC) (see right) � Vetro De Cantabria � Vicrila

� IVC successfully lit its fifth glass manufacturing furnace at its Piedras Negras, Mexico site in February 2020.