Bus bodywork manufacturer RECO has inaugurated its upgraded plant in Tultepec, a city in Mexico state, which surrounds the Federal District and forms part of the Mexico City metropolitan area, with a total investment of $350 million, increasing annual production capacity to 2,500 units.

The plant has "high-technology equipment whose processes integrate a large number of the components for manufacturing the units" and will give the company "greater competitiveness at the global level," RECO director general Raul Pous said.

"RECO's new plant allows us to increase our production capacity by 150 percent," Pous said.

President Felipe Calderon attended the inauguration ceremony on Tuesday and discussed the new facility.

RECO's old plant was "practically condemned to disappear" and experienced extensive financial and labor problems, Calderon said.

The new plant will create 300 direct and 900 indirect jobs, officials said.

RECO sells bus bodies in Mexico, the United States, Venezuela and Peru, Calderon said.

About 80 percent of the buses, trucks and trailers manufactured in Mexico are exported, making the country the world's No. 7 automotive producer.