Diversified Mexican conglomerate, Grupo IUSA has said that it will establish its first PV module assembly plant by the end of 2014 with plans to invest around US$200 million and reach 500MW of capacity in anticipation of a boom in solar installations in the country.

Mexican newspaper, El Financiero reported an interview with Antonio López, the managing director of Iusasol, a subsidiary of Grupo IUSA, highlighting plans to become a major domestic PV module producer.

Initial investment was said to be in the range of US$50 million to US$100 million with the goal, subject to market demand to expand production to 500MW and invest a total of US$200 million in the future.

According to IHS in March, 2014 Mexico was forecast to install around 327MW this year, with 300MW under construction in the first quarter of 2014.

The market research firm had said that Mexico’s ‘solar attractiveness index’ had moved up to 43 from 40, ranking third overall and just behind South Africa and Turkey.

Mexico has also been cited as a key potential location for Chinese and Taiwanese module producers looking to avoid US anti-dumping duties.