Strengthening the Local MarketWed, 02/21/2018 - 16:35
In a highly technology-driven market such as that of UPS equipment, few Mexican players are able to comply with customer needs. To ensure that their technology is up to international standards, companies require a strong focus on R&D, says Rafael Almanza, Director General of Industronic. “Eight percent of our budget is directed toward R&D, the same figure as we spend on marketing,” he says. With such a strong investment in R&D, it is no surprise that Industronic’s in-house R&D department publishes a new patent every year.
Industronic is a Mexican company with a focus on manufacturing, installation and service for industrial-scale UPS systems and voltage regulators that convert electricity from low-quality and intermittent to high-quality and uninterrupted. Almanza uses the example of the manufacture and installation of a 500kVA UPS system implemented by Industronic to protect an entire building in Mexico City. The company is also launching a new digital voltage regulator that can be controlled and calibrated from a mobile phone.
Although Industronic also provides solutions to commercial and residential customers, Almanza says that Industronic offers the highest added value to the industrial segment, where the capabilities of the company shine the brightest. “Serving the industrial sector is at the heart of Industronic’s business and where we can offer a real added value,” he says. At the beginning of 2017, Industronic signed a contract to provide a turnkey 1MW solar project for a farm in Puebla. By August 2017, it had already developed almost 50 percent of the required installations. “This is an achievement that demonstrates the high-quality, on-budget and on-time service we can provide,” he says.
As a Mexican company, Industronic takes great pride in its commitment to national content and, according to Miguel Barrientos, the company’s Sales Director, even the Trump Effect did not have an overwhelmingly negative impact on the market. “We have found that the rhetoric used by the US has led to deeper nationalism at home and a strengthening of the Latin American market,” he says. “Our Latin American customers are increasingly requesting our products becausethey provide the same quality at a better price than products coming from the US or Europe.”
This sentiment, he says, has had a knock-on effect not only on Mexican companies, but also on those with vested interests in the country. The fall of the peso destabilized the Mexican currency and investment climate, but Barrientos says this has not discouraged large multinationals. “Even doors that used to be closed have opened due to renewed interest in national production,” he says. “Big companies such as Telcel, Movistar, Santander, HSBC and others have understood the importance of strengthening the local market to safeguard their investments in Mexico.”
With a strong presence in UPS elements, Industronic is targeting 25 percent growth in annual sales for 2017. The company’s ambitions also extend to sectors the country is just starting to develop, such as solar. “Industronic is already the No. 1 company in Mexico for UPS and voltage regulators, and our goal is to have 10 percent of the company’s 2017 income generated by its solar division,” he says.
International ambitions are also on the horizon for Industronic, as the company is working to deepen its presence in Latin America the same way it did in Mexico. “Our goal is to use that same commitment to local industry to deepen our presence in Latin America,” says Almanza. The company already has operations and offices in Costa Rica, Panama and Guatemala, and in 2018, it wants to open a Colombian branch.