Huawei to Invest $1.5 Billion in ICT Facilities in Queretaro, Mexico

Chinese telecom gear maker Huawei is reportedly investing US$1.5 billion in the construction of four ICT facilities in the Mexican state of Queretaro. This is the largest investment ever made by a Chinese firm in Mexico, eclipsing all the Chinese investments in Mexico put together in the last decade.

The investment will be made over the next five years and will generate over 1,100 jobs, the Chinese firm said.

The four centers will be a Global Technical Care Center, a Regional Center for Network Operations, a Regional Innovation Center and a Regional Technical Training Center.

The Innovation Center is already under construction in El Marqués and is slated to be operational in the second half of 2015.

According to a statement by Huawei, Mexico will henceforth serve as its base for selling telecom solutions in the western hemisphere.

Mexico’s recent telecom reforms have left the country ripe for investment. British telecom firm Virgin Mobile, for example, has committed to invest $45 million over the next three years. South Korean phone maker Samsung is also talking of investing $100 million to expand its plant in Tijuana.

The United States has blocked Huawei from selling telecom gears to government departments because it suspects that the telecom firm is spying for the Chinese government. However, the U.S. government has never attempted to back up its allegations with proof.

Huawei’s largest operations in Latin America to date are in Brazil, where it controls about 40% of the country’s telecom networking gear market. It was the biggest sponsor of the 2014 Futurecom, the largest telecommunication exhibition in Brazil.