Mexico's factories rehire but recovery still weak
* Plants exporting to U.S. rehire 9,000 workers
* Little chance of quick return to 2007 output levels
By Robin Emmott
MONTERREY, Mexico, Oct 29 (Reuters) - Mexican factories on the U.S. border are rehiring following sweeping layoffs as the country pulls out of its worst recession since the 1930s, but plant managers say a strong rebound is still far off.
Mexico's assembly-for-export factories, or maquiladoras, sell everything from computers to aircraft parts, but U.S. demand has plummeted since January and factories with goods like televisions, which come off production lines every minute, have slashed work hours or stopped altogether.
Companies fired 105,000 workers between October and July and 100 factories closed, according to the National Maquiladora Council, an industry group that promotes the sector.
But Mexican plants run by U.S. companies like world No. 1 appliances maker Whirlpool (WHR.N) have hired 9,000 workers since August as the weak Mexican peso makes exports more competitive and orders trickle in again, the council says.
"We had a good month in September and I think companies generally are starting to stabilize a little," said Carlos Gomez, plant manager at U.S. thermoplastics maker Aurora Technologies Inc in Monterrey.
"I hope next year we'll see a recovery but it is hard to say when," Gomez said, as automated drills cut red fiberglass sheets outside his office to fill a new client order. Continued...



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