Germany’s Freudenberg expands in Mexico with new sealing plant in Querétaro

The German industrial group is strengthening its manufacturing footprint in the Americas with a 9,000-square-metre facility producing seals for automotive and industrial customers. The investment reinforces Querétaro’s position as a manufacturing hub and supports Freudenberg’s local-to-local supply strategy across North and Latin America.

August 13, 2026
5 min read
Germany’s Freudenberg expands in Mexico with new sealing plant in Querétaro

German industrial group Freudenberg is expanding its manufacturing presence in Mexico with a new production facility in Querétaro, reinforcing the country’s role within the company’s supply network for North and Latin America.

The 9,000-square-metre plant operated by Freudenberg Sealing Technologies manufactures static seals, O-rings and gaskets using advanced injection- and compression-moulding technologies. Its output is destined for customers in both the automotive industry and broader industrial markets.

The facility forms part of Freudenberg’s strategy to manufacture closer to its customers, shorten delivery times and create a more flexible regional supply chain.

For Mexico, the expansion adds another European industrial investment to Querétaro, a state that has developed into an important manufacturing centre for automotive, aerospace and other advanced industries.

A new link in Freudenberg’s American manufacturing network

The Querétaro operation has been conceived as more than an additional factory.

Freudenberg said the site supports its “local-to-local” supply strategy, allowing production to be positioned closer to customers across the region. The company expects this proximity to facilitate collaboration with clients while improving delivery times and manufacturing flexibility.

The approach has become increasingly relevant as manufacturers rethink global supply chains following several years of logistical disruption and geopolitical uncertainty.

For companies supplying automotive and industrial customers, producing closer to final markets can reduce transport distances, provide greater responsiveness to changes in demand and reduce exposure to interruptions elsewhere in the global production network.

Mexico is particularly well positioned within this strategy because it combines a large manufacturing base with close integration into the North American economy.

The plant covers 9,000 square metres

The new facility has approximately 9,000 square metres of production space and specialises in several important categories of sealing products.

Among them are static seals, O-rings and gaskets, components that may be relatively small but play essential roles across vehicles, machinery and industrial equipment.

Production uses advanced injection moulding and compression moulding, two technologies widely employed to manufacture elastomer components with the precision and consistency required by demanding industrial applications.

The factory serves both automotive manufacturers and customers from general industry, allowing Freudenberg to diversify production beyond a single end market.

Designed for further expansion

The investment also leaves room for future growth.

Freudenberg designed the Querétaro site so that additional manufacturing capabilities can be incorporated as demand develops.

A later phase is expected to include rubber-mixing operations, which would bring another important production process into the Mexican facility.

That capacity could increase vertical integration at the site and provide greater control over materials and production processes.

The facility itself was constructed in 2024, while the ramp-up of production continued during that year. Freudenberg has now positioned the operation as part of its longer-term expansion strategy for the region.

Mexico becomes increasingly important to Freudenberg

The new factory builds on a relationship between the German group and Mexico stretching back more than a century and a half.

Freudenberg says it first conducted business in the country in 1854. Its first Mexican production facility, a tannery in Cuautla, opened in 1961, followed by its first sealing-production operation there in 1975.

The company's presence has since expanded substantially.

Freudenberg currently operates manufacturing plants, research and testing facilities and sales offices across Mexico. Freudenberg Sealing Technologies itself has a location in Cuautla and two in Querétaro.

The group's Mexican operations now encompass activities ranging from sealing and vibration-control technologies to filtration and household products.

Freudenberg says its sales in Mexico have increased 52% over the past five years, underlining the country's growing importance both as a domestic market and as an industrial platform serving international customers.

Querétaro attracts another German industrial investment

The choice of Querétaro reflects the increasing importance of central Mexico in international manufacturing strategies.

Its industrial ecosystem, skilled workforce, logistics connections and concentration of automotive and aerospace suppliers have attracted companies seeking to manufacture for both the Mexican and broader North American markets.

Freudenberg is not alone within its own group in increasing investment there.

Its 2025 annual report confirms that both Freudenberg Sealing Technologies and Vibracoustic invested in new facilities in Querétaro, part of a wider programme of investment in production sites, machinery and equipment worldwide.

The investments strengthen the German group's industrial footprint in a region that is benefiting from the reorganisation of international supply chains.

Nearshoring strengthens Mexico’s industrial proposition

Although Freudenberg describes the strategy primarily as local-to-local production, the logic closely follows the broader nearshoring trend reshaping manufacturing in Mexico.

Companies supplying the United States and Canada are increasingly evaluating whether production traditionally located farther from customers can be transferred closer to North American markets.

Mexico combines geographical proximity with established manufacturing clusters and integration into regional supply chains.

Querétaro has become one of the beneficiaries.

A growing number of international manufacturers are adding production capacity in the state, reinforcing an ecosystem in which suppliers, customers and specialist labour are increasingly concentrated in the same region.

For European industrial groups, this can create a strategic bridge between technology and expertise developed in Europe and manufacturing capacity positioned directly within the Americas.

A more resilient supply chain for North America

Freudenberg says the new facility will also strengthen its North American manufacturing network by improving production continuity and operational flexibility as customer demand changes.

That objective has become increasingly important for automotive suppliers.

Vehicle manufacturers are undergoing a profound technological transition while simultaneously demanding shorter lead times, greater supply security and more flexible production from their suppliers.

The ability to manufacture components within the region can therefore become a competitive advantage.

The Querétaro plant gives Freudenberg additional capacity to respond to customers without relying exclusively on longer international supply chains.

Mexico at the centre of Freudenberg’s regional growth strategy

For the German company, Mexico now fulfils two roles simultaneously.

It is an increasingly important market in its own right, supported by a large automotive and industrial manufacturing sector, and it is also a production base capable of serving customers throughout North America and Latin America.

Freudenberg explicitly describes Mexico as an important market and manufacturing hub within its regional growth strategy.

The possibility of adding rubber mixing and other manufacturing capabilities in Querétaro suggests the investment is designed with a longer horizon than simply meeting current production requirements.

The factory can evolve as customer needs change.

European manufacturing investment continues to deepen in Mexico

Freudenberg's expansion illustrates a broader industrial connection between Europe and Mexico.

Rather than simply exporting European-manufactured components to customers in the Americas, companies are increasingly creating regional production networks that place manufacturing closer to demand.

For Freudenberg, that means combining its German engineering and materials expertise with additional Mexican manufacturing capacity.

For Querétaro, it means attracting another high-value industrial operation capable of strengthening the local supplier ecosystem.

And for Mexico, the project reinforces its position as an increasingly important link between European industrial groups and the North American economy.

Freudenberg's new 9,000-square-metre plant therefore represents more than additional production capacity: it is another example of how European manufacturers are reorganising their global footprints around proximity, flexibility and regional supply-chain resilience — with Mexico becoming one of the principal beneficiaries.

Related Articles