PUEBLA, Mexico Jan 14 Most of the $7 billion
that German carmaker Volkswagen AG will invest in
North America over five years will go to Mexico, the company's
chief executive said on Tuesday.
"Most of it will be invested in Mexico for a new plant for
Audi, investment for our new products... and some of it will go
to the United States," CEO Martin Winterkorn said in the central
Mexican city of Puebla, where the company has a major plant.
Last year, executives laid the foundation stone in Mexico
for an Audi assembly plant, the premium brand of Volkswagen,
Europe's biggest automaker. Volkswagen announced the $7 billion
figure in Detroit on the eve of the North American International
With numerous free trade agreements, a cheap, well-educated
labor force and proximity to the lucrative U.S. auto market,
automakers have been lining up in recent years to set up shop in