Mexico violence boom to armored car industry
The deteriorating situation in Mexico and the growing drug-related violence there have been a boon to the armored car industry; the CEO of Ogden, Utah-based International Armoring Corp. says that over the past eighteen months, the company’s sales of armored passenger vehicles to corporations along the U.S.-Mexico border have increased over 300 percent
Where there is a security need, there is a business opportunity. Concerns about the violence in Mexico have created a growing demand at the border for bulletproof vehicles, said Mark Burton, CEO of International Armoring Corp. The company, based in Ogden, Utah, is delivering armored vehicles this week to corporations in El Paso that have business dealings in Juárez.(see also “Growing Crime in Central America Boon to Private Security Companies,” 9 February 2009 HSNW; and “Private Security is Good Business in Guatemala,” 22 March 2010 HSNW).
“Over the past 18 months, our sales of armored passenger vehicles to corporations along the U.S.-Mexico border have increased over 300 percent,” Burton said. “They are being used mainly for the protection of corporate executives and managers who live in El Paso and commute to their Juárez offices. These vehicles provide protection from random acts of violence, kidnapping and high-level planned assaults.”
Burton said requests from the border region for such vehicles began increasing about three years ago. “The vehicles will protect against attacks from high-powered handguns and rifles, similar to the ones used in attacks in the border region,” Burton said. “We’ve tested them, and they can withstand rounds from AK-47s and AR-15s.”
El Paso Times’s Diana Washington Valdez writes that it takes the company about thirty days to make vehicles bulletproof. The process includes lining the entire passenger compartment with a special high-tech armor and replacing the original glass with two-inch ballistic armored windows.
The company has built more than 6,000 armored passenger vehicles since 1993, and has sold them in 50 countries and to at least 38 presidents and heads of state. Clients include governments, militaries,
international corporations, the Vatican, and celebrities.
“We’re in the process of preparing several units for the Iraqi police force,” Burton said.
Jose Contreras, vice president of international relations for the Juárez Mexican Chamber of Commerce, said armored vehicles are in big demand in Mexico. He said that in Mexico, owners must register such vehicles with the federal government.
Insecurity continues to be a problem for many business people, but there are some drawbacks,” Contreras said. “It is expensive. The costs for vehicles I saw at another company (Car Armoring Service Inc.) ranged from $70,000 to $80,000. Driving around in these vehicles also makes the bad guys think you have a lot of money, which could lead to a kidnapping for ransom.
Burton told Valdez that his company charges $72,000 on average to convert a vehicle, which does not include the cost of the vehicle itself. “But these vehicles aren’t tanks,” he said. “They are made to blend in. You can’t tell them apart from the rest of the cars if you see them on the street. They are no longer only for heads of state. Our customers at the border are normal executives who are concerned for their safety, and some individuals who cross the border frequently.”
