Advancing circular aluminium production in Mexico

ILX participated in financing through two facilities, alongside IDB Invest, to a Mexico-based manufacturer of secondary (recycled) aluminium alloys, supplying non-ferrous metals for the automotive, energy, construction, iron, and steel industries. One of the largest manufacturers in the sector, the company plays a key role in processing recycled aluminium for industrial use.

The first facility (2024) supports the expansion of the manufacturer’s aluminium processing capacity through new machinery. This enables the expansion of their secondary aluminium processing plant, contributing to more efficient resource use and supporting the development of circular production processes in Mexico. The facility marks ILX’s first investment in the country.

The second facility (2025) finances expenditures for the second phase of the manufacturer’s rotary furnaces plant expansion. This enables increased recovery of aluminium from industrial waste, reducing raw material use and greenhouse gas emissions compared to primary production. The project aims to achieve a 65% recovery rate of aluminium from dross and produce approximately 45,600 tonnes of secondary aluminium annually, resulting in the avoidance of approximately 315,598 tonnes of C02-equivalent emissions per year. At the same time, the facility is expected to generate around 165 direct jobs during operations and 315 jobs during construction. The investment will strengthen Mexico’s position in sustainable manufacturing and support nearshoring opportunities by enhancing domestic production with cleaner technology.