Shell Lubricants and Comercial Importadora, S. de R.L. de C.V. (CISA) announced a new joint venture partnership that includes investments in existing facilities, increased lubricant production capacity, new marketing capabilities, and local workforce training and development. The new joint venture partnership will operate under the name CS, Juntos Shell y Quaker State de Mexico (CS), and it will be the sole licensee, producer, and marketer of Pennzoil-Quaker State Company products and other Shell Lubricants brands in Mexico.
“I am very proud of our long history in Mexico and the great relationship we have formed with CISA and its owners, the Flores family. Together, we have become market leaders of automotive lubricants in Mexico,” said Carlos Maurer, CEO of Pennzoil Quaker State Company and vice president of Shell Lubricants Americas.
“The goal of our new joint venture is to capture market growth in one of the world’s top lubricants markets, and we will achieve that by combining our world-class products, technology and supply chains with CISA’s market expertise and close connection with Mexican consumers.”
“This strategic alliance will allow us to continue offering the highest level of quality in the Mexican market, as we have done it during the last 90 years,” said Juan Manuel Flores, chairman of the CISA Board.
In 2017, Shell announced plans to invest USD1 billion over 10 years in Mexico, channeled to its retail network, fuel logistics infrastructure and business partnerships, contingent on market conditions. The new CS joint venture builds on those plans and reflects the priority that Mexico has within Shell’s growth strategy. As the leading lubricant supplier in the world for 12 consecutive years, Shell hopes to strengthen its global market share by improving access to one of the top 10 global lubricants markets, which is also the fastest growing in the Americas region.
This new joint venture will strengthen CS’s leading position in automotive lubricants in Mexico by investing in the expansion of its Naucalpan plant and increasing production capacity. Together with investments in marketing and workforce training, CS has plans to extend its leadership to other segments of the lubricants market in Mexico, including transport and industrials, and make it easier for customers to access Shell’s premium range of lubricants products and services.