MCALLEN, TEXAS – The McAllen Economic Development Corporation has received a number of inquiries from European manufacturing companies looking to build plants in the region.

Of the ten prospective companies Ralph Garcia is working on at the moment, six are from Europe.

Garcia is a vice president of McAllen EDC.

Keith Patridge

“Ralph is working ten companies. Eight are interested in U.S.-side operations, one in Mexico and one is looking at both operations on the Mexican side and the U.S. side,” said MEDC President Keith Patridge.

“Of those companies, six of them are from Europe, are European manufacturers. Two are from Mexico, one is from China and one is a U.S. operation but they have foreign companies that they are looking to move into the area.”

Many analysts have predicted increased interest from European and Asian manufacturing firms as a result of implementation of the United States-Mexico-Canada Agreement.

With Garcia away, Patridge gave the vice president’s presentation to the MEDC board.

The U.S. entity that has foreign companies attached that is looking to move into the McAllen area is looking at a re-shoring operation, Patridge explained.

“That one, actually the mayor and myself and Angel Ortiz, our consultant out of Mexico, we visited with that company yesterday,” Patridge said. “We had a very good visit. It is very early on in the project but what they are looking at is between a 150,000 to 250,000 square foot facility on the U.S. side and a similar sized building on the Mexico side.”

And that is just the start, Patridge explained.

“Then, they are looking at, from that a potential growth into more companies, more manufacturing plants in the future. As I say, it is very early so we don’t have a clue yet as to the total investment amount but with that size facility, we are looking at that plant alone probably being a six to eight million dollar investment. And it would be new construction,” Patridge said.

Ralph Garcia
Ralph Garcia

Patridge also spoke about the other projects Garcia is working one.

“One of the European companies is an existing company in Reynosa that is actually looking at adding a manufacturing facility on the U.S. side. So that would be a second twin plant operation if they continue to move forward with it.”

Patridge provided board members with a list of the ten companies. Two are in the electronics industry and both want to build a plant to manufacture sensors. One requires 25,000 square feet of space, with a capital investment of one million dollars. The other requires 20,000 square feet of pace, with a capital investment of $500,000. Both project having 20 employees. 

Another of the companies is in the space industry and would produce engineered products. Its projected square footage is 10,000, with ten employees and a $500,000 capital investment.

Another is in the aerospace industry and would built components. It would require a plant measuring 60,000 square feet, would hire 60 employees and have a capital investment of $2.5 million.

Another is in the medical textiles industry and would have subcontracted manufacturers. It require 15,000 square feet of space, would hire ten employees and have a capital investment of $200,000.

Another is in the chemicals industry and would manufacture disinfecting chemicals. It requires 20,000 square feet of space, would hire ten staff, and its capital investment is still to be determined.

Another is in the metal fabrication industry and is interested in setting up a tooling operation. It requires 10,000 square feet of space, would hire ten workers and its capital investment is still to be determined.

Another is a manufacturer of medical plastics. It would need 15,000 square feet of space, would hire five employees and its capital investment is still to be determined.

All of the above prospects want to set up their manufacturing plants in the United States. The one of the ten that wants to develop a manufacturing plant in Mexico would manufacture power tools. It would require 100,000 square feet of space, would hire 1,000 employees and its capital investment is still to be determined.

The company looking to have a presence in the United States and Mexico is in the advanced manufacturing industry. The square footage, number of workers, and capital investment are still to be evaluated.

“We are looking at over half a million square feet of space on the U.S. side and in excess of 1,145 employers,” Patridge said, when adding all ten projects together. “There would be ten million dollars worth of investment. That is what Ralph is working right now.”

Editor’s Note: The main image accompanying the above news story shows Keith Patridge, president and CEO of McAllen Economic Development Corporation.

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