La Cruz Azul prepares to restart plant in Hidalgo; expects to close with 17% increase in production

Cement producer Cruz Azul has begun the final phase of restarting operations at its plant in Allende, Hidalgo, with plans to resume production within weeks. The facility, which was suspended since early 2021, is undergoing intensive rehabilitation and maintenance work. According to reports, the company aims to recover and surpass pre-2021 production levels. The cooperative managing Cruz Azul confirmed that it has been conducting extensive restoration efforts since February 12. These activities have focused on ensuring the plant meets current quality standards. Víctor Velázquez, president of the administration council of Cruz Azul, stated that production will gradually increase until it reaches and exceeds previous output levels. Velázquez emphasized the historical significance of the plant, noting that it represents both the origins of the company and the broader cement industry in Mexico. He highlighted the strict testing program implemented to guarantee product quality. Additionally, he mentioned that the restart of operations is expected to boost economic and social activity in the region, benefiting local families. The company anticipates ending the year with a 17% increase in cement production. This growth is attributed to infrastructure modernization and improved administrative efficiency. Alongside this, Cruz Azul announced a 25% rise in direct employment, translating into 1,300 new jobs created between August 2025 and May 2026. These positions result from industrial expansion and investments in infrastructure. The plant’s location in Allende, Hidalgo, underscores its role in regional economic development. The facility's reopening marks a key step in the company’s strategy to enhance operational capacity and contribute to local job creation. The timing aligns with broader efforts to stimulate economic recovery following disruptions caused by the pandemic. Rehabilitation efforts have included comprehensive inspections and upgrades to ensure compliance with safety and environmental regulations. Workers have been engaged in tasks ranging from equipment repair to system calibration. The process has required coordination among technical staff and external contractors to meet the stringent requirements set by management. The projected increase in production reflects a strategic shift toward greater efficiency and scalability. By investing in modern technology and optimizing internal processes, Cruz Azul aims to position itself as a more competitive player in the national market. The company’s focus on sustainability and quality control further supports its long-term viability. Local authorities have expressed support for the plant’s revival, recognizing its potential to drive economic growth and provide stable employment. Community leaders have welcomed the anticipated influx of jobs and the associated benefits to the local economy. The project also highlights the importance of private sector investment in rural areas. With the completion of the current phase, the plant is poised to begin full-scale operations soon. The gradual ramp-up of production will allow for careful monitoring and adjustment to ensure smooth performance. As the company moves forward, continued investment in training and technological upgrades will remain critical to maintaining high productivity and quality standards. The successful resumption of operations at the Allende plant signals a positive trend for Cruz Azul and the wider cement industry in Mexico. It demonstrates the company’s resilience and commitment to long-term growth, reinforcing its role as a key player in the country’s manufacturing sector.